BofA says Bloomberg reported yesterday and the firm was able to confirm with an industry contact that Packaging Corp (PKG) is out announcing a price hike in containerboard for early 2024. The firm’s research suggests $70/ton on kraft linerboard, or $100/ton on semi-chem medium, effective January 1, the analyst tells investors. Some the firm spoke with theorized that the increase may be aimed at stabilizing the market after prices dropped somewhat surprisingly by $20/ton in November, but “that’s not the company’s usual approach,” the analyst added. The firm, which says its forecasts remain unchanged and that it will evaluate datapoints as they are received, maintains a Buy on WestRock (WRK), Neutral on Packaging, and Underperform rating on International Paper (IP).
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