CluenexInternational Paper IP
International Paper scores weak on business quality (3.9 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What International Paper does
International Paper manufactures industrial packaging and containerboard, selling corrugated boxes and paper products to consumer and industrial goods producers. The company is managing heavy debt loads while working to integrate recent operational shifts and protect its dividend payout.
- What it does best
International Paper scales production efficiently, delivering a gross margin of 29.8% that outpaces peer Packaging Corporation of America at 20.1%. This production scale creates high volume advantages in standard containerboard.
- The main risk
A severe debt burden of $9.8 billion paired with an interest coverage ratio of 0.1x threatens solvency if operating income fails to rebound quickly from negative net margins.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin rests near zero at 0.2% alongside a net margin of -14.2%, dragging profitability into deeply distressed territory. Scale fails to convert into positive net income.
A weak moat limits pricing power, sitting in the bottom quartile for operating margin rank at 6. Rivals can easily undercut standard box manufacturing within months.
Revenue growth surged to 49.3%, landing in the top decile of its sector at the 96th percentile. This marks a sharp acceleration compared to prior historical contraction years.
Total debt sits at $9.8 billion against $1.1 billion in cash, while interest coverage of 0.1x makes debt servicing a heavy strain. Free cash flow dropped to $492 million, pointing to a softening financial base.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
2 sold $1.2M outside pre-planned sales.
Our sealed record on IP
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
International Paper scores weak on the Cluenex quality check (3.9 of 10), measured against its own industry. Profitability is weak, moat weak, growth fast and financial health weak.
In the last 90 days of SEC Form 4 filings: 2 sold $1.2M outside pre-planned sales.
Oct 28, 2026.
See IP today
- Today's verdict on IP, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “International Paper (IP)”, https://cluenex.com/stocks/ip/, data as of Oct 10, 2026.