Sylvamo (NYSE:SLVM) Reaches New 12-Month Low Following Weak Earnings

Shares of Sylvamo Co. (NYSE:SLVM) reached a new 52-week low during trading on Saturday after the company announced weaker than expected quarterly earnings. The company traded as low as $51.60 and last traded at $52.72, with a volume of 751467 shares changing hands. The stock had previously closed at $60.20.

The company reported $0.68 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.70 by ($0.02). The business had revenue of $821.00 million during the quarter, compared to analyst estimates of $819.61 million. Sylvamo had a return on equity of 34.72% and a net margin of 7.96%. The company’s quarterly revenue was down 9.3% compared to the same quarter last year. During the same quarter last year, the firm posted $1.07 EPS.

Sylvamo Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, April 29th. Shareholders of record on Tuesday, April 8th were given a $0.45 dividend. The ex-dividend date was Tuesday, April 8th. This represents a $1.80 annualized dividend and a yield of 3.41%. Sylvamo’s dividend payout ratio (DPR) is 26.32%.

Wall Street Analysts Forecast Growth

Separately, Royal Bank of Canada decreased their price target on shares of Sylvamo from $83.00 to $80.00 and set a “sector perform” rating on the stock in a research report on Thursday, February 13th.

Insiders Place Their Bets

In other Sylvamo news, CEO Jeanmichel Ribieras sold 21,250 shares of Sylvamo stock in a transaction that occurred on Monday, March 17th. The shares were sold at an average price of $65.14, for a total transaction of $1,384,225.00. Following the transaction, the chief executive officer now directly owns 131,894 shares in the company, valued at approximately $8,591,575.16. The trade was a 13.88% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.74% of the company’s stock.

Hedge Funds Weigh In On Sylvamo

Several institutional investors and hedge funds have recently added to or reduced their stakes in SLVM. Smartleaf Asset Management LLC grew its position in Sylvamo by 182.4% during the 4th quarter. Smartleaf Asset Management LLC now owns 624 shares of the company’s stock worth $49,000 after purchasing an additional 403 shares in the last quarter. GAMMA Investing LLC boosted its stake in shares of Sylvamo by 43.6% during the 4th quarter. GAMMA Investing LLC now owns 662 shares of the company’s stock valued at $52,000 after buying an additional 201 shares during the period. Fifth Third Bancorp boosted its stake in shares of Sylvamo by 40.9% during the 4th quarter. Fifth Third Bancorp now owns 737 shares of the company’s stock valued at $58,000 after buying an additional 214 shares during the period. Covestor Ltd boosted its stake in shares of Sylvamo by 464.5% during the 4th quarter. Covestor Ltd now owns 779 shares of the company’s stock valued at $62,000 after buying an additional 641 shares during the period. Finally, KBC Group NV boosted its stake in shares of Sylvamo by 80.2% during the 4th quarter. KBC Group NV now owns 1,836 shares of the company’s stock valued at $145,000 after buying an additional 817 shares during the period. 91.16% of the stock is currently owned by hedge funds and other institutional investors.

Sylvamo Stock Down 12.4%

The business’s 50 day simple moving average is $62.41 and its 200-day simple moving average is $74.98. The company has a market cap of $2.15 billion, a price-to-earnings ratio of 7.31, a price-to-earnings-growth ratio of 2.23 and a beta of 1.18. The company has a debt-to-equity ratio of 0.92, a quick ratio of 1.03 and a current ratio of 1.56.

About Sylvamo

Sylvamo Corporation produces and markets uncoated freesheet for cutsize, offset paper, and pulp in Latin America, Europe, and North America. The company operates through Europe, Latin America, and North America segments. The Europe segment offers copy, tinted, and colored laser printing paper under REY Adagio and Pro-Design brands; and graphic and high-speed inkjet printing papers under the brand Jetstar; as well as produces uncoated freesheet papers.