What is IP's intrinsic value?

TickerWorth's valuation lenses put International Paper Company (IP) between $26.39 and $94.98 per share, versus a market price of $34.05. They disagree too widely for us to state a single fair value, so we publish the range.

Is IP overvalued or undervalued?

At $34.05 the price sits inside a range too wide to call either way. We don't call IP overvalued or undervalued from a range this wide. This is an educational estimate, not advice.

What discount rate is used for IP?

A WACC of 8.0% and a terminal growth rate of 2.5%.

Is International Paper stock undervalued?

TickerWorth's fair-value range for International Paper Company (IP) is $26.39 – $94.98 against a market price of $34.05. Too wide to call. We publish a range here, not one number, so we do not call it over- or undervalued. This is a model estimate, not investment advice.

International Paper (IP) DCF valuation and fair value

Our fair-value range for International Paper Company (IP) is $26.39 – $94.98, built on a 8.0% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.

What growth is priced into International Paper stock?

Today's price implies revenue growth of −1.6% a year for 5 years; our model assumes 2.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $34.05. A model estimate, not investment advice.

International Paper (IP) insider trading

The most recent insider filing (SEC Form 4) for International Paper Company (IP): Hamic William Thomas, Exec. VP & President, open-market sale on 2026-08-07. The latest filings are listed on this page. A disclosure, not a signal to trade.

IP · Intrinsic value

Is International Paper Company (IP) overvalued or undervalued?

Name: International Paper Company (IP) DCF intrinsic value
Creator: TickerWorth

As of Oct 19, 2026, TickerWorth's valuation lenses put International Paper Company (IP) at $26.39 – $94.98, too broad a range to say where the delayed market price of $34.05 sits in it, so we do not call it over- or undervalued. It is a model estimate, and every input behind it is sourced below.

Model by Miraaj Patel · generated from a hand-researched model · Updated Oct 19, 2026 · How these pages are made

Open full IP analysis

What is IP worth?

Fair-value range: $26.39 – $94.98
Market price: $34.05
Gap to fair value: —
Verdict: Too wide to call

Price as of 19 Oct 2026, 13:15 UTC · Prices are delayed.Our valuation lenses disagree too widely on this company for us to publish a single number, so we publish the range instead. We do not call it over- or undervalued from a spread this wide.

Fair-value range against the delayed market price: Too wide to call.

Reverse DCF: Today's price implies revenue growth of −1.6% a year for 5 years; our model assumes 2.7% a year on average over the same horizon.

What is IP's TickerWorth Score?

C48/100

Middle of the pack — real strengths and real weaknesses

Compared with Consumer Cyclical companies in US

Its strongest point: looks cheap on the numbers. Its weakest: profitability is weak.

Value · 83 of 100
Cheaper than 83% of Consumer Cyclical companies in US
Price vs worth · 84 of 100
Quality · 15 of 100
More profitable than 15% of Consumer Cyclical companies in US
Financial health · 42 of 100
Financially stronger than 42% of Consumer Cyclical companies in US
Growth · 16 of 100
Growing faster than 16% of Consumer Cyclical companies in US
Momentum · 31 of 100
Outperformed 31% of Consumer Cyclical companies in US over the past year

Confidence: Medium confidence · Scored 19 Oct 2026, 13:15 UTC

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Where the numbers come from

Hand-researched model

What the modeller flagged

YEAR-1 FCF IS ~69% ABOVE IP'S TRAILING REPORTED FCF ($832M modeled vs $492M TTM). Explained, not a forecast error: the model is UNLEVERED (adds back ~$280M of after-tax interest), excludes restructuring/separation/integration cash that IP books as special items, and assumes normal working capital, while the TTM figure also absorbs the H2 2025 GCF cash flows and DS Smith integration payments. If special-item cash keeps recurring at $300-500M a year, the true figure is lower.
TERMINAL VALUE IS ~80% OF ENTERPRISE VALUE — above the 75% comfort line. Five years of below-normal margins carry little value, so nearly everything rests on the 9.0% steady-state margin. Each 1pt of steady-state margin is worth about $6/share.
THE MARGIN RECOVERY IS THE WHOLE CASE. At a 7.75% steady state (the 2019-24 full-cycle average, translated to today's accounting) the model lands near today's price; at 10% it reaches ~$46. Management's own 2027 claim implies something closer to 13%; this file deliberately does not use it — IP's price increases have so far been 'eaten by inflation' (CEO, 2026-07-30) and 2026 guidance was cut twice.
SPIN-OFF NOT MODELLED: separation dis-synergies (a second public-company cost base, stranded corporate costs) and one-off separation costs ($54M in H1 2026 alone) are not deducted. They would lower the value modestly.
Restructuring is treated as non-recurring in the margin base even though IP has booked severance and closure costs every year since 2023; this flatters the base by up to ~0.5-2.5pts depending on the year.
Small balance-sheet items (VIE net asset, GCF preferred, net pension surplus) worth ~+$1/share combined are excluded; adding them would raise the value.
FOREIGN EXCHANGE: ~35% of sales are in GBP/EUR; a stronger dollar lowers reported revenue and EBIT. Not modelled separately.

Why IP gets a range, not one number

At a recent price of $34.05, International Paper Company (IP) sits inside a range too wide to call either way: our valuation lenses put the business somewhere between $26.39 and $94.98 per share. They disagree too widely for us to state a single fair value. We publish the range rather than a midpoint because a number that precise would claim more than the methods can support. This is an educational model, not a price target or a recommendation.

Read the full reasoning

The valuation discounts International Paper Company's projected free cash flows at a weighted-average cost of capital (WACC) of 8.0%, with a long-run terminal growth rate of 2.5%. About 80% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly -1.6% annual revenue growth for IP. Our base case instead compounds to about 2.7% a year over the same forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, IP's modeled DCF value ranges from about $23.02 to $84.12 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what International Paper Company would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of IP's intrinsic value. Figures update as new filings and prices come in.

Every input behind IP's DCF

Input	Value	Source
Base-year revenueIP FY2025 10-K (accession 0000051434-26-000055, filed 2026-02-27): PERIMETER-CORRECTED BASE. Reported FY2025 continuing-operations net sales were $23,634M, but DS Smith only joined on 2025-01-31, so that figure carries 11 months of it. The 10-K's own unaudited pro forma note (DS Smith combination as if closed 2024-01-01) gives FY2025 net sales of $24,369M; that is the base used here, so Year-1 growth is organic rather than a January stub. Global Cellulose Fibers (pulp, sold to AIP on 2026-01-23 for $1.5B incl. $190M preferred) is ALREADY in discontinued operations in both figures. Still inside the perimeter and still in this base: PS EMEA ($8,451M of FY2025 sales, ~35%), which IP plans to spin off — see special_cases. CROSS-CHECK: H1 2026 net sales $11,975M, annualising to ~$24.0B before the seasonally stronger second half; FY2024 pro forma was $24,298M, so the combined business has not grown in two years.	$24,369,000,000	IP FY2025 10-K (accession 0000051434-26-000055, filed 2026-02-27): PERIMETER-CORRECTED BASE. Reported FY2025 continuing-operations net sales were $23,634M, but DS Smith only joined on 2025-01-31, so that figure carries 11 months of it. The 10-K's own unaudited pro forma note (DS Smith combination as if closed 2024-01-01) gives FY2025 net sales of $24,369M; that is the base used here, so Year-1 growth is organic rather than a January stub. Global Cellulose Fibers (pulp, sold to AIP on 2026-01-23 for $1.5B incl. $190M preferred) is ALREADY in discontinued operations in both figures. Still inside the perimeter and still in this base: PS EMEA ($8,451M of FY2025 sales, ~35%), which IP plans to spin off — see special_cases. CROSS-CHECK: H1 2026 net sales $11,975M, annualising to ~$24.0B before the seasonally stronger second half; FY2024 pro forma was $24,298M, so the combined business has not grown in two years.
Base EBIT marginIP 4Q/FY2025 earnings release, 8-K Ex-99.1 (accession 0000051434-26-000016, filed 2026-01-29): DERIVED, ADJUSTED. IP reports no operating-income line and its GAAP FY2025 is meaningless for a run-rate (pretax loss of $3,368M after a $2,467M EMEA goodwill impairment, $958M of accelerated depreciation on closed mills and $626M of restructuring). Built as adjusted EBITDA from continuing operations $2,976M less UNDERLYING D&A ($2,747M reported - $958M accelerated depreciation = $1,789M) = $1,187M / $23,634M reported sales = 5.02%. Applied to the pro forma base on the assumption the January DS Smith month earned the same margin. Excludes special items and non-operating pension income (pension is handled in net debt). JUDGEMENT FLAGGED: this treats restructuring and severance ($626M in 2025, $104M in 2024) as non-recurring; IP has booked them every year since 2023, so the true run-rate is somewhat lower. CROSS-CHECK H1 2026: adjusted EBITDA $1,264M - underlying D&A ($977M - $39M accelerated) = $326M / $11,975M = 2.7%, a heavy-outage half (Q2 outages ~2x normal, Riverdale conversion).	5.0%	IP 4Q/FY2025 earnings release, 8-K Ex-99.1 (accession 0000051434-26-000016, filed 2026-01-29): DERIVED, ADJUSTED. IP reports no operating-income line and its GAAP FY2025 is meaningless for a run-rate (pretax loss of $3,368M after a $2,467M EMEA goodwill impairment, $958M of accelerated depreciation on closed mills and $626M of restructuring). Built as adjusted EBITDA from continuing operations $2,976M less UNDERLYING D&A ($2,747M reported - $958M accelerated depreciation = $1,789M) = $1,187M / $23,634M reported sales = 5.02%. Applied to the pro forma base on the assumption the January DS Smith month earned the same margin. Excludes special items and non-operating pension income (pension is handled in net debt). JUDGEMENT FLAGGED: this treats restructuring and severance ($626M in 2025, $104M in 2024) as non-recurring; IP has booked them every year since 2023, so the true run-rate is somewhat lower. CROSS-CHECK H1 2026: adjusted EBITDA $1,264M - underlying D&A ($977M - $39M accelerated) = $326M / $11,975M = 2.7%, a heavy-outage half (Q2 outages ~2x normal, Riverdale conversion).
Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast	0% → 5% → 3% → 2% → 2%	ESTIMATEAssumption — TickerWorth's 5-year explicit forecast
Risk-free rateUS 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation; program-wide input shared by every researched model.	5.2%	US 10Y Treasury constant maturity (FRED DGS10): 5.24% on 2026-10-01, the latest published observation; program-wide input shared by every researched model.
Betayfinance 5Y-monthly beta: Published 5Y-monthly beta 0.889, used unadjusted. Two arguments for higher exist and are NOT applied: leverage rose with the all-share DS Smith deal (debt/equity at market ~0.54 now), and most of the regression window predates the combined company. Each +0.1 of beta is worth about -$3.20/share; a beta of 1.0 would take the value to ~$36.	0.89	yfinance 5Y-monthly beta: Published 5Y-monthly beta 0.889, used unadjusted. Two arguments for higher exist and are NOT applied: leverage rose with the all-share DS Smith deal (debt/equity at market ~0.54 now), and most of the regression window predates the combined company. Each +0.1 of beta is worth about -$3.20/share; a beta of 1.0 would take the value to ~$36.
Terminal growthESTIMATEAssumption — house default: House default 2.5% (~long-run nominal GDP), kept for comparability. Not generous for a business whose real volumes have been flat-to-down for a decade, but containerboard prices have tracked inflation over cycles. Well below the ~8.0% WACC.	2.5%	ESTIMATEAssumption — house default: House default 2.5% (~long-run nominal GDP), kept for comparability. Not generous for a business whose real volumes have been flat-to-down for a decade, but containerboard prices have tracked inflation over cycles. Well below the ~8.0% WACC.
Diluted sharesIP Q2 2026 10-Q (accession 0000051434-26-000123, filed 2026-08-05): Six-months-to-2026-06-30 weighted-average diluted shares, 531.8M (529.2M basic + 2.6M performance shares). The Q2-alone figure (529.5M) is a LOSS quarter, where dilutive securities are excluded by rule, so it understates the true dilution; the six-month count is the latest period with dilution measured.	532M	IP Q2 2026 10-Q (accession 0000051434-26-000123, filed 2026-08-05): Six-months-to-2026-06-30 weighted-average diluted shares, 531.8M (529.2M basic + 2.6M performance shares). The Q2-alone figure (529.5M) is a LOSS quarter, where dilutive securities are excluded by rule, so it understates the true dilution; the six-month count is the latest period with dilution measured.
Market priceDelayed quote · as of 2026-10-19 13:15 UTC	$34.05	Delayed quote · as of 2026-10-19 13:15 UTC

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What does International Paper Company do?

What does it do?

International Paper Company produces and sells renewable fiber-based packaging in North America, Latin America, Europe, South America, and North Africa. It operates through two segments, Packaging Solutions North America and Packaging Solutions EMEA. It operates in the Packaging & Containers industry (Consumer Cyclical sector), headquartered in United States. The company employs roughly 62,602 people.

How does it make money?

The business turns $24.2B in annual revenue into profit. Out of every $100 of sales, about $2 is left as operating profit (operating margin of 2.3%), after a 30% gross margin on the products/services it sells. After all costs, taxes and interest, -14.2% of revenue becomes bottom-line net profit.

Is it financially healthy?

Financially it looks mixed: carries modest debt (0.7× equity), can just cover its short-term bills (1.1× current ratio), and is currently lossmaking.

Who at IP filed insider trades?

Recent insider filings for International Paper Company
Date	Insider	Relationship	What happened	Value	Filing
7 Aug 2026	Hamic William Thomas	Exec. VP & President	Open-market sale	$1,009,397.55	Form 4 for Hamic William Thomas (opens sec.gov in a new tab)
4 Aug 2026	Goughnour Holly G.	VP & Chief Accounting Officer	Open-market sale	$146,860.00	Form 4 for Goughnour Holly G. (opens sec.gov in a new tab)
12 May 2026	ROBBIE DAVID A.	Director	Grant / award	—	Form 4 for ROBBIE DAVID A. (opens sec.gov in a new tab)
12 May 2026	ROBBIE DAVID A.	Director	Shares withheld (tax)	$40,035.51	Form 4 for ROBBIE DAVID A. (opens sec.gov in a new tab)
12 May 2026	Dorduncu Ahmet C	Director	Grant / award	—	Form 4 for Dorduncu Ahmet C (opens sec.gov in a new tab)
12 May 2026	Dorduncu Ahmet C	Director	Shares withheld (tax)	$38,509.42	Form 4 for Dorduncu Ahmet C (opens sec.gov in a new tab)

A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans

Common questions

What is IP's intrinsic value?
TickerWorth's valuation lenses put International Paper Company (IP) between $26.39 and $94.98 per share, versus a market price of $34.05. They disagree too widely for us to state a single fair value, so we publish the range.
Is IP overvalued or undervalued?
At $34.05 the price sits inside a range too wide to call either way. We don't call IP overvalued or undervalued from a range this wide. This is an educational estimate, not advice.
What discount rate is used for IP?
A WACC of 8.0% and a terminal growth rate of 2.5%.
Is International Paper stock undervalued?
TickerWorth's fair-value range for International Paper Company (IP) is $26.39 – $94.98 against a market price of $34.05. Too wide to call. We publish a range here, not one number, so we do not call it over- or undervalued. This is a model estimate, not investment advice.
International Paper (IP) DCF valuation and fair value
Our fair-value range for International Paper Company (IP) is $26.39 – $94.98, built on a 8.0% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into International Paper stock?
Today's price implies revenue growth of −1.6% a year for 5 years; our model assumes 2.7% a year on average over the same horizon. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $34.05. A model estimate, not investment advice.
International Paper (IP) insider trading
The most recent insider filing (SEC Form 4) for International Paper Company (IP): Hamic William Thomas, Exec. VP & President, open-market sale on 2026-08-07. The latest filings are listed on this page. A disclosure, not a signal to trade.