Goldman Sachs Has Buy On International Paper Company (IP)

Goldman Sachs has a Buy rating and a $37 price target on shares of International Paper Company IP. In a note to clients, Goldman writes, "We hosted International Paper's (IP) CEO, John Faraci, and CFO, Tim Nicholls, for two days of investor meetings. Following our meetings, we remain confident that containerboard supply/demand fundamentals will tighten over the next 3-6 months, leading to higher containerboard prices. IP remains committed to a balanced approach to use of free cash flow and reiterated its focus on restoring the dividend to pre-recession levels. We reiterate our Buy rating on IP shares, given IP's leverage to our bullish containerboard view, robust free cash flow generation, and 5.6X 2011E EV/EBITDA multiple." Shares of IP gained 10 cents yesterday to close at $26.92, a gain of 0.37%.