WallStSmart

International Paper (IP)vsSonoco Products Company (SON)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

International Paper generates 225% more annual revenue ($24.34B vs $7.49B). SON leads profitability with a 13.6% profit margin vs -13.8%. SON appears more attractively valued with a PEG of 0.20. SON earns a higher WallStSmart Score of 70/100 (B).

IP

Hold

50

out of 100

Grade: D+

Growth: 4.7Profit: 3.0Value: 3.7Quality: 4.5
Piotroski: 2/9Altman Z: 1.03

SON

Strong Buy

70

out of 100

Grade: B

Growth: 5.3Profit: 7.0Value: 8.7Quality: 4.5
Piotroski: 5/9Altman Z: 1.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IPSignificantly Overvalued (-73.0%)

Margin of Safety

-73.0%

Fair Value

$28.43

Current Price

$33.61

$5.18 premium

UndervaluedFair: $28.43Overvalued
SONUndervalued (+5.0%)

Margin of Safety

+5.0%

Fair Value

$54.15

Current Price

$47.49

$6.66 discount

UndervaluedFair: $54.15Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IP1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

SON5 strengths · Avg: 9.4/10
PEG RatioValuation
0.2010/10

Growing faster than its price suggests

P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Return on EquityProfitability
28.9%9/10

Every $100 of equity generates 29 in profit

EPS GrowthGrowth
23.6%8/10

Earnings expanding 23.6% YoY

Areas to Watch

IP4 concerns · Avg: 3.0/10
PEG RatioValuation
1.584/10

Expensive relative to growth rate

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-22.6%2/10

ROE of -22.6% — below average capital efficiency

SON4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Debt/EquityHealth
1.383/10

Elevated debt levels

Revenue GrowthGrowth
-1.9%2/10

Revenue declined 1.9%

Free Cash FlowQuality
$-428.29M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : IP

The strongest argument for IP centers on Price/Book. Revenue growth of 13.4% demonstrates continued momentum.

Bull Case : SON

The strongest argument for SON centers on PEG Ratio, P/E Ratio, Price/Book. PEG of 0.20 suggests the stock is reasonably priced for its growth.

Bear Case : IP

The primary concerns for IP are PEG Ratio, Operating Margin, Piotroski F-Score.

Bear Case : SON

The primary concerns for SON are Altman Z-Score, Debt/Equity, Revenue Growth.

Key Dynamics to Monitor

IP profiles as a turnaround stock while SON is a declining play — different risk/reward profiles.

IP carries more volatility with a beta of 0.93 — expect wider price swings.

IP is growing revenue faster at 13.4% — sustainability is the question.

IP generates stronger free cash flow (94M), providing more financial flexibility.

Bottom Line

SON scores higher overall (70/100 vs 50/100). Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

International Paper

CONSUMER CYCLICAL · PACKAGING & CONTAINERS · USA

The International Paper Company (NYSE: IP) is an American pulp and paper company, the largest such company in the world. The company is headquartered in Memphis, Tennessee.

Sonoco Products Company

CONSUMER CYCLICAL · PACKAGING & CONTAINERS · USA

Sonoco Products Company manufactures and sells industrial and consumer packaging products in North and South America, Europe, Australia, and Asia. The company is headquartered in Hartsville, South Carolina.

Want to dig deeper into these stocks?