Sylvamo (NYSE:SLVM) Posts Earnings Results, Beats Expectations By $0.03 EPS

by · The Markets Daily

Sylvamo (NYSE:SLVM – Get Free Report) announced its earnings results on Thursday. The company reported $1.08 earnings per share for the quarter, topping the consensus estimate of $1.05 by $0.03, FiscalAI reports. Sylvamo had a return on equity of 19.72% and a net margin of 5.25%.The firm had revenue of $890.00 million for the quarter, compared to the consensus estimate of $858.76 million. During the same period in the previous year, the business earned $1.96 EPS. The firm’s revenue for the quarter was down 8.2% on a year-over-year basis.

Here are the key takeaways from Sylvamo’s conference call:

  • Reported solid 2025 results with $448 million Adjusted EBITDA, $44 million free cash flow, net debt/Adjusted EBITDA of 1.6x, $155 million returned to shareholders, and $224 million reinvested to strengthen the business.
  • Management called 2026 a transition year with ~$85 million of one-time North American EBITDA impacts (plus a separate ~$10 million Riverdale cold‑weather charge), $245 million planned capex (including $145M at Eastover), and an expected working‑capital drag.
  • The Eastover investments (paper‑machine optimization, new sheeter, woodyard modernization) are on schedule and expected to add 60,000 tons, lower costs and improve mix, positioning the company to ramp volumes and materially improve cash flow and returns in 2027 and beyond.
  • Company will discontinue quarterly Adjusted EBITDA outlooks to emphasize long‑term value creation and is launching Lean and digital transformation initiatives (starting in Latin America) to drive operational improvement and customer centricity.

Sylvamo Stock Performance

SLVM traded up $2.50 during trading on Thursday, reaching $54.56. 546,528 shares of the company’s stock were exchanged, compared to its average volume of 278,022. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.52 and a quick ratio of 0.85. Sylvamo has a 1 year low of $37.51 and a 1 year high of $73.73. The company’s fifty day simple moving average is $49.80 and its 200-day simple moving average is $46.23. The stock has a market capitalization of $2.15 billion, a P/E ratio of 12.49 and a beta of 0.95.

Sylvamo Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, January 23rd. Investors of record on Monday, January 5th were issued a $0.45 dividend. This represents a $1.80 annualized dividend and a yield of 3.3%. The ex-dividend date was Monday, January 5th. Sylvamo’s dividend payout ratio is 41.19%.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Royal Bank Of Canada reissued a “sector perform” rating and issued a $53.00 price target on shares of Sylvamo in a report on Thursday, December 18th. Weiss Ratings reiterated a “hold (c)” rating on shares of Sylvamo in a research note on Wednesday, January 21st. Finally, Bank of America raised shares of Sylvamo from an “underperform” rating to a “buy” rating and boosted their target price for the stock from $41.00 to $59.00 in a research report on Monday, November 17th. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $56.00.

View Our Latest Report on SLVM

Institutional Trading of Sylvamo

A number of hedge funds and other institutional investors have recently made changes to their positions in SLVM. Advisory Services Network LLC purchased a new stake in Sylvamo in the third quarter valued at $38,000. EverSource Wealth Advisors LLC lifted its holdings in shares of Sylvamo by 185.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 982 shares of the company’s stock valued at $49,000 after buying an additional 638 shares during the period. Tower Research Capital LLC TRC boosted its stake in shares of Sylvamo by 339.7% in the second quarter. Tower Research Capital LLC TRC now owns 3,526 shares of the company’s stock worth $177,000 after buying an additional 2,724 shares during the last quarter. BNP Paribas Financial Markets grew its holdings in Sylvamo by 28.6% during the second quarter. BNP Paribas Financial Markets now owns 3,567 shares of the company’s stock worth $179,000 after acquiring an additional 794 shares during the period. Finally, Verity Asset Management Inc. purchased a new position in Sylvamo during the third quarter valued at approximately $211,000. Institutional investors and hedge funds own 91.16% of the company’s stock.

Sylvamo Company Profile

(Get Free Report)

Sylvamo Corporation, trading on the New York Stock Exchange under the ticker SLVM, is a leading global producer of uncoated freesheet paper. The company was established in October 2021 through a spin-off from International Paper, creating an independent entity focused exclusively on the development, manufacturing and marketing of high-quality uncoated paper products. Headquartered in Memphis, Tennessee, Sylvamo draws on decades of industry experience inherited from its predecessor, positioning itself to meet evolving customer needs in paper-based communications and packaging applications.

The company’s core product portfolio includes office and digital print papers, direct mail and marketing materials, catalog and commercial printing papers, and a range of specialty and value-added grades.

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