PKG

Consumer Cyclical

Packaging Corporation of America · Packaging & Containers · $22B

UQS Score — Balanced Preset
13.5
Poor

Packaging Corporation of America scores 13.5/100 using the Balanced preset.

UQS vs Consumer Cyclical Sector
PKG
13.5
Sector avg
37.7
Quality
Weak
Moat
Weak
Growth
Weak
Risk
Weak
Valuation
Elevated

What is Packaging Corporation of America?

Packaging Corporation of America is one of the largest producers of containerboard and corrugated packaging in the United States. Headquartered in Lake Forest, Illinois, the company serves a broad range of industries that depend on reliable, high-volume packaging solutions.

PKG operates through two segments: Packaging and Paper. The Packaging segment produces containerboard and corrugated products — from standard shipping boxes to multi-color retail displays and protective honeycomb materials — serving food, beverage, and industrial customers. The Paper segment manufactures commodity and specialty papers, including cut-size office papers and printing papers, sold through a dedicated sales organization. Revenue is driven primarily by volume-based contracts across domestic manufacturing and retail supply chains.

The company was incorporated in 2000 and is headquartered in Lake Forest, Illinois.

  • Corrugated shipping containers for industrial and consumer goods
  • Multi-color retail display boxes for merchandise presentation
  • Honeycomb protective packaging materials
  • Fresh produce and food-grade corrugated packaging
  • Cut-size office and specialty printing papers

Is PKG a Good Stock to Buy?

UQS Score rates PKG as Below Average overall, reflecting a mixed picture across its five quality pillars.

The Risk pillar stands out as a relative strength, suggesting the business carries a manageable financial profile compared to many peers in the Consumer Cyclical sector. Valuation also registers as Good, meaning the stock does not appear significantly stretched relative to its fundamentals — a notable characteristic in a sector where pricing can run ahead of underlying business quality.

The Moat pillar is rated Weak, pointing to limited durable competitive advantages in what remains a commoditized, capital-intensive industry. Quality and Growth both land at Neutral, indicating neither a standout earnings profile nor meaningful above-sector expansion.

Pro members can view the exact pillar breakdown and full financial metrics behind the PKG UQS Score. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does PKG pay dividends?

Yes — Packaging Corporation of America pays a dividend.

PKG pays a regular dividend, consistent with its position as a mature, cash-generating industrial business. The company's relatively stable cash flows from packaging demand support ongoing distributions to shareholders. Investors seeking income alongside cyclical exposure often consider dividend-paying industrials like PKG as part of a diversified portfolio.

When does PKG report earnings?

Packaging Corporation of America reports earnings on a quarterly cadence, typical for US-listed equities.

Results tend to reflect broader trends in containerboard demand, input cost fluctuations, and pricing dynamics across the domestic packaging market. Volume shifts tied to e-commerce and consumer goods production cycles can meaningfully influence quarterly outcomes.

For the most recent quarter's results and guidance, visit Packaging Corporation of America's investor relations page directly.

PKG Price History

+94.3% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Packaging Corporation of America?

$
Today it would be worth
$20,042
That's a +100% total return, or +14.9% annualized.

Based on Packaging Corporation of America's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

PKG Long-term Outlook

With Growth rated Neutral and Risk rated Good, PKG's fundamental trajectory appears steady rather than accelerating. The business is unlikely to deliver outsized expansion in the near term, but its risk profile suggests it is not exposed to acute financial stress. Valuation at Good levels may offer some cushion if sector conditions soften, though a Weak Moat rating limits confidence in sustained pricing power over a longer horizon.

Growth drivers

  • Sustained domestic demand for corrugated packaging tied to e-commerce and food supply chains
  • Potential volume recovery as manufacturing and retail inventory cycles normalize
  • Specialty and food-grade packaging growth as consumer preferences shift

Key risks

  • Commodity input cost volatility compressing margins in a low-moat environment
  • Cyclical demand swings tied to broader consumer and industrial activity
  • Limited pricing power in a competitive, capacity-driven containerboard market

PKG vs Peers

PKG competes in a consolidated US packaging and paper market alongside several large domestic and global players.

AMCRPKG scores higher
Amcor plc

Amcor focuses on flexible and rigid plastic packaging with a significantly more global footprint than PKG's primarily US-based operations.

IPPKG scores higher
International Paper Company

International Paper is one of the largest containerboard producers globally, competing directly with PKG on corrugated products and industrial packaging at greater scale.

BALLPKG scores higher
Ball Corporation

Ball specializes in aluminum packaging — primarily beverage cans — serving a distinct end market compared to PKG's corrugated and paper focus.

Frequently Asked Questions

What does Packaging Corporation of America do?

PKG manufactures containerboard and corrugated packaging products for a wide range of industries, including food, beverage, and consumer goods. It also produces commodity and specialty papers through its Paper segment. The company sells primarily within the United States through direct sales teams and distribution partners.

Does PKG pay dividends?

Yes, PKG pays a regular dividend. The company's relatively stable cash generation from packaging operations supports consistent distributions. Investors should check PKG's investor relations page for the current dividend rate and payment schedule, as specific figures are not provided here.

When does PKG report earnings?

Packaging Corporation of America reports on a quarterly cadence, in line with standard US-listed company practice. For exact dates and the most recent results, refer to the company's investor relations page rather than relying on third-party estimates.

Is PKG a good stock to buy?

UQS Score rates PKG as Below Average overall. The Risk and Valuation pillars are relative strengths, but a Weak Moat and Neutral Quality and Growth ratings temper the overall picture. Whether it fits a portfolio depends on individual goals — the full pillar breakdown is available to Pro members.

Is PKG overvalued?

The UQS Valuation pillar for PKG is rated Good, suggesting the stock is not trading at a significant premium relative to its fundamentals. In a sector where valuations can stretch during demand cycles, a Good Valuation rating indicates relative reasonableness — though it should be considered alongside the Weak Moat profile.

How does PKG compare to its competitors?

PKG operates primarily in US corrugated and paper markets, while peers like International Paper compete at larger global scale and Amcor focuses on flexible plastics. Ball Corporation targets a different end market entirely with aluminum beverage cans. The UQS Score comparison for each competitor is available on their respective pages.

What is PKG's market cap bracket?

PKG is classified as a large-cap company, reflecting its significant scale within the US containerboard and packaging industry. Large-cap stocks generally offer greater liquidity and more established operating histories than smaller peers in the sector.

Who founded Packaging Corporation of America?

Packaging Corporation of America in its current form was incorporated in 2000, though the business traces roots to operations dating back to 1867. Detailed founding history is publicly available through the company's official disclosures and investor relations materials.

Is PKG a long-term quality investment?

As a long-term quality indicator, PKG's UQS profile is mixed. The Good Risk rating suggests financial stability, but the Weak Moat limits confidence in durable competitive advantages over time. Long-term investors focused on quality typically look for stronger moat and growth characteristics — the full analysis is available to Pro members.

What is the main competitive advantage of Packaging Corporation of America?

PKG's scale within the US corrugated market and its vertically integrated mill and converting operations provide some cost efficiency. However, the UQS Moat pillar rates this as Weak, reflecting the broader challenge of building durable pricing power in a commodity-driven, capital-intensive packaging industry.

What sector does PKG belong to?

PKG is classified under the Consumer Cyclical sector. Packaging demand tends to track broader economic activity — particularly manufacturing output, retail volumes, and e-commerce growth — making the business sensitive to cyclical swings in consumer and industrial spending.

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Pro Analysis

PKG — Score History

1020304050May 25Jun 12Jun 30Jul 18Aug 5Aug 22
Score changes· 30/44 most recent
DateUQSQualityMoatGrowthRiskValueChange
Aug 13, 202613.50.032.00.036.90.0-32.5
Jul 29, 202646.042.932.044.258.165.10.0
Jul 27, 202646.042.832.044.258.164.9-0.1
Jul 25, 202646.142.832.044.358.165.8-0.7
Jul 24, 202646.843.332.044.258.169.3-0.9
Jul 23, 202647.745.132.044.260.470.30.0
Jul 22, 202647.745.132.044.260.470.4-0.1
Jul 21, 202647.845.132.044.260.470.7+0.2
Jul 17, 202647.645.032.044.260.470.0-0.1
Jul 16, 202647.745.232.043.860.470.7-0.1

PKG — Pillar Breakdown

Quality

0.0/100 (25%)

Packaging Corporation of America currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

0.0/100 (20%)

Packaging Corporation of America faces growth headwinds with declining or stagnant revenue trends.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

Forward Revenue OutlookWeak

Analyst consensus for future revenue growth.

Risk

36.9/100 (15%)

Packaging Corporation of America has some risk factors including moderate leverage or solvency concerns.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

0.0/100 (15%)

Packaging Corporation of America appears expensively valued relative to its fundamentals and growth prospects.

Moat

32/100 (25%)

Packaging Corporation of America operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for PKG.

Score Composition

Quality
0.0×25%0.0
Growth
0.0×20%0.0
Risk
36.9×15%5.5
Valuation
0.0×15%0.0
Moat
32.0×25%8.0
Total
13.5Poor

Financial Data

More Stock Analysis

How is the PKG UQS Score Calculated?

The UQS (Unified Quality Score) for Packaging Corporation of America is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Packaging Corporation of America's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Packaging Corporation of America is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.