Latest Ratios: P/E Ratio -5.3x · EV/EBITDA 1360.1x · ROE -30.6%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $18.9B | $20.8B | $19.1B | $12.6B | $12.7B | $18.4B | $18.6B | $17.4B | $15.8B | $22.9B | $20.9B |
| Enterprise Value | $28.6B | $30.5B | $23.7B | $17.4B | $17.8B | $23.0B | $30.7B | $33.3B | $32.2B | $39.3B | $37.4B |
| P/E Ratio → | -5.32 | — | 34.28 | 41.55 | 8.45 | 10.51 | 38.59 | 17.94 | 7.86 | 10.69 | 23.05 |
| P/S Ratio | 0.76 | 0.84 | 1.02 | 0.67 | 0.60 | 0.95 | 1.06 | 0.95 | 0.68 | 1.05 | 1.07 |
| P/B Ratio | 1.27 | 1.40 | 2.33 | 1.51 | 1.50 | 2.03 | 2.37 | 2.25 | 2.14 | 3.50 | 4.79 |
| P/FCF | — | — | 25.18 | 18.24 | 10.22 | 12.45 | 8.06 | 7.45 | 9.57 | 62.61 | 18.48 |
| P/OCF | 11.13 | 12.25 | 11.36 | 6.88 | 5.85 | 9.08 | 6.08 | 4.82 | 4.91 | 13.04 | 8.43 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.22 | 1.28 | 0.92 | 0.84 | 1.19 | 1.75 | 1.82 | 1.38 | 1.81 | 1.92 |
| EV / EBITDA | 1360.08 | 1450.28 | 13.33 | 6.56 | 6.36 | 8.58 | 12.11 | 10.90 | 7.50 | 10.36 | 11.24 |
| EV / EBIT | — | — | 41.15 | 21.68 | 9.28 | 16.06 | 33.20 | 20.50 | 12.80 | 24.50 | 25.13 |
| EV / FCF | — | — | 31.37 | 25.16 | 14.29 | 15.50 | 13.28 | 14.25 | 19.46 | 107.50 | 33.14 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 29.5% | 29.5% | 28.2% | 20.4% | 28.4% | 28.6% | 23.8% | 30.8% | 33.3% | 31.9% | 31.2% |
| Operating Margin | -11.3% | -11.3% | 2.6% | 6.3% | 8.3% | 7.6% | 8.0% | 9.5% | 12.7% | 10.9% | 10.8% |
| Net Profit Margin | -14.1% | -14.1% | 3.0% | 1.6% | 7.1% | 9.0% | 1.3% | 6.7% | 8.6% | 9.9% | 4.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -30.6% | -30.6% | 6.7% | 3.6% | 17.1% | 20.7% | 3.0% | 16.2% | 28.9% | 39.3% | 21.8% |
| ROA | -11.6% | -11.6% | 2.4% | 1.3% | 6.1% | 6.2% | 0.7% | 3.7% | 6.0% | 6.4% | 2.8% |
| ROIC | -11.3% | -11.3% | 2.7% | 6.7% | 9.7% | 6.6% | 4.8% | 5.5% | 9.5% | 8.1% | 8.0% |
| ROCE | -11.6% | -11.6% | 2.5% | 6.2% | 8.8% | 6.6% | 5.8% | 6.5% | 10.3% | 8.2% | 7.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.73 | 0.73 | 0.72 | 0.71 | 0.69 | 0.64 | 1.59 | 2.12 | 2.30 | 2.67 | 4.04 |
| Debt / EBITDA | 514.43 | 514.43 | 3.29 | 2.22 | 2.10 | 2.17 | 4.95 | 5.37 | 3.95 | 4.60 | 5.28 |
| Net Debt / Equity | — | 0.65 | 0.57 | 0.57 | 0.60 | 0.50 | 1.53 | 2.06 | 2.22 | 2.51 | 3.80 |
| Net Debt / EBITDA | 459.90 | 459.90 | 2.63 | 1.80 | 1.81 | 1.69 | 4.76 | 5.20 | 3.81 | 4.33 | 4.97 |
| Debt / FCF | — | — | 6.19 | 6.92 | 4.07 | 3.05 | 5.22 | 6.80 | 9.89 | 44.89 | 14.66 |
| Interest Coverage | -8.01 | -8.01 | 1.34 | 1.91 | 4.75 | 3.32 | 1.55 | 2.31 | 3.43 | 2.12 | 2.14 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.28 | 1.28 | 1.51 | 1.67 | 1.35 | 1.71 | 1.36 | 0.77 | 1.49 | 1.62 | 1.64 |
| Quick Ratio | 1.02 | 1.02 | 1.09 | 1.19 | 0.97 | 1.27 | 1.16 | 0.51 | 1.01 | 1.17 | 1.09 |
| Cash Ratio | 0.14 | 0.14 | 0.27 | 0.28 | 0.16 | 0.37 | 0.64 | 0.06 | 0.13 | 0.20 | 0.25 |
| Asset Turnover | — | 0.66 | 0.82 | 0.81 | 0.88 | 0.77 | 0.55 | 0.55 | 0.69 | 0.64 | 0.59 |
| Inventory Turnover | 8.72 | 8.72 | 7.50 | 7.97 | 7.80 | 7.63 | 8.23 | 5.74 | 6.94 | 6.40 | 6.01 |
| Days Sales Outstanding | — | 64.89 | 65.91 | 67.38 | 64.94 | 68.05 | 61.57 | 73.19 | 61.33 | 55.18 | 53.40 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 5.2% | 4.7% | 3.4% | 5.1% | 5.3% | 4.2% | 4.3% | 4.6% | 5.0% | 3.4% | 3.5% |
| Payout Ratio | — | — | 115.4% | 212.6% | 44.7% | 44.5% | 350.4% | 65.0% | 39.2% | 35.9% | 81.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 2.9% | 2.4% | 11.8% | 9.5% | 2.6% | 5.6% | 12.7% | 9.4% | 4.3% |
| FCF Yield | — | — | 4.0% | 5.5% | 9.8% | 8.0% | 12.4% | 13.4% | 10.4% | 1.6% | 5.4% |
| Buyback Yield | 0.3% | 0.3% | 0.1% | 1.7% | 10.1% | 4.6% | 0.2% | 3.1% | 4.6% | 0.2% | 0.6% |
| Total Shareholder Yield | 5.5% | 5.0% | 3.5% | 6.8% | 15.4% | 8.8% | 4.6% | 7.7% | 9.6% | 3.6% | 4.1% |
| Shares Outstanding | — | $528M | $354M | $349M | $367M | $392M | $396M | $399M | $414M | $418M | $416M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying IP stock.
International Paper Company's current P/E ratio is -5.3x. The historical average is 33.2x.
International Paper Company's current EV/EBITDA is 1360.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.7x.
International Paper Company's return on equity (ROE) is -30.6%. The historical average is 8.3%.
Based on historical data, International Paper Company is trading at a P/E of -5.3x. Compare with industry peers and growth rates for a complete picture.
International Paper Company's current dividend yield is 5.18%.
International Paper Company has 29.5% gross margin and -11.3% operating margin.
International Paper Company's Debt/EBITDA ratio is 514.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Margin compression and integration risk
Metrics are mathematically derived from official filings.
Margin Compression Masks Underlying Operations
According to recent financial statements, IP's gross margin held near 28-31% over the past year, yet operating margin plunged to -42.7% in 2025Q4, indicating massive non-cash charges. Net margin of -14.12% TTM underscores severe earnings distortion.
The gap between gross margin and operating margin in 2025Q4 suggests substantial impairment or restructuring costs rather than core operational deterioration. Recent quarters (2026Q1-Q2) show operating margins recovering to 0.7-2.9%, but still far below the 5.2% seen in 2024Q2. This implies that while the underlying business may be stabilizing, profitability remains structurally weak relative to peers like PKG, which reported operating margins around 14% in 2026Q2.
Return on Capital Decaying Amid Restructuring
Based on reported figures, IP's ROIC swung from 1.4% in 2024Q2 to -7.5% in 2025Q4, before recovering to 0.1% in 2026Q2. ROE remains negative at -0.1% in 2026Q2, reflecting a prolonged period of value destruction.
The negative ROIC in 2025Q4 aligns with the massive operating loss, likely driven by asset write-downs. Even in more stable quarters, ROIC has hovered below 1.5%, indicating that the company is not generating returns above its cost of capital. This suggests that the strategic transformation, including the DS Smith acquisition, has yet to yield tangible returns, and investors should monitor whether the expanded asset base can eventually generate adequate returns.
Working Capital Efficiency Improving but Asset Turnover Lags
As reported in financial statements, IP's cash conversion cycle improved from 54 days in 2024Q1 to -0 days in 2026Q2, driven by extended payables (DPO up to 108 days). However, asset turnover remains low at 0.16, reflecting the capital-intensive nature of the business.
The negative CCC in 2026Q2 indicates that IP is effectively using supplier financing to fund its working capital, which may signal improved bargaining power or strained supplier relationships. However, the low asset turnover (0.16) suggests that the massive asset base, including goodwill from acquisitions, is not generating sufficient sales. This inefficiency is a structural challenge for a company with high fixed costs and cyclical demand.
Leverage Elevated but Coverage Thin
According to recent SEC filings, IP's debt-to-equity rose to 0.67 in 2026Q2, while interest coverage fell to 0.70, down from 2.93 in 2024Q2. D/EBITDA spiked to 18.18 in 2026Q2, indicating significant debt burden relative to cash flow.
The interest coverage ratio of 0.70 in 2026Q2 suggests that operating income is insufficient to cover interest expenses, a concerning sign for debt service. However, this is partly due to depressed earnings; if EBITDA normalizes, coverage could improve. The elevated D/EBITDA (18.18) is distorted by the negative EBITDA in 2025Q4, but even on a forward basis, leverage appears high. Investors should monitor refinancing risk, especially if interest rates remain elevated.
Liquidity Buffer Thinning Rapidly
Based on reported figures, IP's current ratio declined from 1.68 in 2024Q1 to 1.10 in 2026Q2, while quick ratio fell to 0.84. Cash reserves dropped to $726M, suggesting a reduced cushion against operational shocks.
The current ratio approaching 1.0 indicates that current assets barely cover current liabilities, a tight position for a capital-intensive company. The quick ratio below 1.0 highlights reliance on inventory, which may be difficult to liquidate quickly in a downturn. This thinning liquidity, combined with negative operating margins in recent quarters, suggests that IP could face stress if cash flows deteriorate further. However, the company's ability to raise debt or access capital markets may provide a buffer, though at a cost.
EV/EBITDA Misleading Amid Earnings Distortions
The most commonly misapplied ratio for IP is EV/EBITDA, which currently stands at 1481.87 TTM but 12.76 forward. As reported in financial statements, the TTM figure is distorted by non-cash impairments, making it meaningless for valuation.
Analysts often use EV/EBITDA to compare IP with peers, but the TTM multiple is artificially inflated due to depressed EBITDA from one-time charges. The forward multiple of 12.76 is more indicative, but still above peers like PKG (13.81) and GPK (6.32). A better approach is to use normalized EBITDA, excluding impairment and restructuring costs, or to focus on EV/EBITDAR to account for lease and pension obligations. Investors should also consider P/B (1.44) and P/S (0.86) as cross-checks, but these too are affected by the asset base and revenue volatility.