Under the Radar: Graphic Packaging Shares Soar to Best Day in Years -- WSJ

By Ryan Dezember

One of this year's beaten-down stocks is bouncing back on better-than-expected earnings.

The report, from Graphic Packaging Holding Co., tripped up traders who were positioned for more bad news from the paper-packaging giant.

Graphic, which makes paper cups, cereal boxes and other paperboard packaging, topped Wall Street's quarterly sales and profit expectations and signaled that the cascade of worrying news that has plagued the shares for the past year might be reversing. Shares shot up 19% in response and are on track for their best day since they were climbing back from the 2008 stock-market crash.

Even after Tuesday's big gain, Graphic's stock remains more than 25% lower than it was a year ago, when bad news began to pile up for the Sandy Springs, Ga., firm.

The construction budget ballooned by more than 60% at Graphic's new recycled-boxboard plant in Waco, Texas. The CFO left, followed by the CEO. Investors battled over his replacement. Financial forecasts were slashed. Analysts downgraded the stock.

Though Tuesday's stock pop brings the shares back from the abyss, analysts say they are uncertain if Graphic's efforts to cut costs will continue to be enough to offset inflation. Another concern for Graphic is how well consumer demand will hold up as packaged-goods firms raise prices to combat their own higher input costs.

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November 03, 2026 13:07 ET (18:07 GMT)