Seek Returns logo

IP vs. KMX: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at IP and KMX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolIPKMX
Company NameInternational Paper CompanyCarMax, Inc.
CountryUnited StatesUnited States
GICS SectorMaterialsConsumer Discretionary
GICS IndustryContainers & PackagingSpecialty Retail
Market Capitalization24.82 billion USD8.68 billion USD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962February 4, 1997
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of IP and KMX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

IP vs. KMX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolIPKMX
5-Day Price Return-1.57%-0.57%
13-Week Price Return-6.89%-14.95%
26-Week Price Return-15.21%-34.01%
52-Week Price Return-1.30%-28.02%
Month-to-Date Return0.58%2.12%
Year-to-Date Return-12.65%-29.29%
10-Day Avg. Volume3.60M2.53M
3-Month Avg. Volume4.33M3.32M
3-Month Volatility35.68%34.29%
Beta1.121.33

Profitability

Return on Equity (TTM)

IP

-0.20%

Containers & Packaging Industry

Max
41.66%
Q3
20.76%
Median
14.35%
Q1
6.55%
Min
3.64%

IP has a negative Return on Equity of -0.20%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

KMX

8.96%

Specialty Retail Industry

Max
61.19%
Q3
37.24%
Median
18.81%
Q1
8.92%
Min
-13.03%

KMX’s Return on Equity of 8.96% is on par with the norm for the Specialty Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.

IP vs. KMX: A comparison of their Return on Equity (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Net Profit Margin (TTM)

IP

-0.12%

Containers & Packaging Industry

Max
11.61%
Q3
8.17%
Median
4.91%
Q1
4.20%
Min
0.08%

IP has a negative Net Profit Margin of -0.12%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

KMX

2.08%

Specialty Retail Industry

Max
21.28%
Q3
10.68%
Median
6.08%
Q1
2.43%
Min
-4.54%

Falling into the lower quartile for the Specialty Retail industry, KMX’s Net Profit Margin of 2.08% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

IP vs. KMX: A comparison of their Net Profit Margin (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Operating Profit Margin (TTM)

IP

-0.07%

Containers & Packaging Industry

Max
22.03%
Q3
13.17%
Median
8.87%
Q1
6.86%
Min
0.07%

IP has a negative Operating Profit Margin of -0.07%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

KMX

2.78%

Specialty Retail Industry

Max
33.35%
Q3
15.84%
Median
9.34%
Q1
3.83%
Min
-8.97%

KMX’s Operating Profit Margin of 2.78% is in the lower quartile for the Specialty Retail industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

IP vs. KMX: A comparison of their Operating Profit Margin (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Profitability at a Glance

SymbolIPKMX
Return on Equity (TTM)-0.20%8.96%
Return on Assets (TTM)-0.08%2.04%
Net Profit Margin (TTM)-0.12%2.08%
Operating Profit Margin (TTM)-0.07%2.78%
Gross Profit Margin (TTM)28.30%11.20%

Financial Strength

Current Ratio (MRQ)

IP

1.33

Containers & Packaging Industry

Max
2.13
Q3
1.57
Median
1.27
Q1
1.13
Min
0.58

IP’s Current Ratio of 1.33 aligns with the median group of the Containers & Packaging industry, indicating that its short-term liquidity is in line with its sector peers.

KMX

2.39

Specialty Retail Industry

Max
2.83
Q3
1.89
Median
1.39
Q1
1.11
Min
0.64

KMX’s Current Ratio of 2.39 is in the upper quartile for the Specialty Retail industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

IP vs. KMX: A comparison of their Current Ratio (MRQ) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Debt-to-Equity Ratio (MRQ)

IP

0.53

Containers & Packaging Industry

Max
4.50
Q3
2.23
Median
1.22
Q1
0.54
Min
0.23

Falling into the lower quartile for the Containers & Packaging industry, IP’s Debt-to-Equity Ratio of 0.53 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

KMX

3.02

Specialty Retail Industry

Max
3.02
Q3
1.57
Median
0.64
Q1
0.20
Min
0.00

KMX’s leverage is in the upper quartile of the Specialty Retail industry, with a Debt-to-Equity Ratio of 3.02. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

IP vs. KMX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Interest Coverage Ratio (TTM)

IP

1.71

Containers & Packaging Industry

Max
13.16
Q3
8.10
Median
3.61
Q1
2.94
Min
1.06

In the lower quartile for the Containers & Packaging industry, IP’s Interest Coverage Ratio of 1.71 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

KMX

--

Specialty Retail Industry

Max
48.12
Q3
35.95
Median
14.13
Q1
3.61
Min
-36.00

Interest Coverage Ratio data for KMX is currently unavailable.

IP vs. KMX: A comparison of their Interest Coverage Ratio (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Financial Strength at a Glance

SymbolIPKMX
Current Ratio (MRQ)1.332.39
Quick Ratio (MRQ)0.960.80
Debt-to-Equity Ratio (MRQ)0.533.02
Interest Coverage Ratio (TTM)1.71--

Growth

Revenue Growth

IP vs. KMX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

IP vs. KMX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

IP

3.25%

Containers & Packaging Industry

Max
7.37%
Q3
4.07%
Median
3.33%
Q1
1.72%
Min
0.00%

IP’s Dividend Yield of 3.25% is consistent with its peers in the Containers & Packaging industry, providing a dividend return that is standard for its sector.

KMX

0.00%

Specialty Retail Industry

Max
6.53%
Q3
2.69%
Median
1.08%
Q1
0.00%
Min
0.00%

KMX currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

IP vs. KMX: A comparison of their Dividend Yield (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Dividend Payout Ratio (TTM)

IP

180.00%

Containers & Packaging Industry

Max
221.20%
Q3
119.52%
Median
58.05%
Q1
28.91%
Min
0.00%

IP’s Dividend Payout Ratio of 180.00% is in the upper quartile for the Containers & Packaging industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

KMX

0.00%

Specialty Retail Industry

Max
165.81%
Q3
80.94%
Median
31.61%
Q1
0.00%
Min
0.00%

KMX has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

IP vs. KMX: A comparison of their Dividend Payout Ratio (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Dividend at a Glance

SymbolIPKMX
Dividend Yield (TTM)3.25%0.00%
Dividend Payout Ratio (TTM)180.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

IP

--

Containers & Packaging Industry

Max
35.98
Q3
27.87
Median
16.15
Q1
14.38
Min
8.20

P/E Ratio data for IP is currently unavailable.

KMX

15.58

Specialty Retail Industry

Max
48.56
Q3
29.15
Median
22.00
Q1
15.46
Min
7.95

KMX’s P/E Ratio of 15.58 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

IP vs. KMX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Price-to-Sales Ratio (TTM)

IP

1.14

Containers & Packaging Industry

Max
2.91
Q3
1.67
Median
0.83
Q1
0.64
Min
0.30

IP’s P/S Ratio of 1.14 aligns with the market consensus for the Containers & Packaging industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

KMX

0.32

Specialty Retail Industry

Max
5.08
Q3
2.69
Median
1.23
Q1
0.48
Min
0.09

In the lower quartile for the Specialty Retail industry, KMX’s P/S Ratio of 0.32 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

IP vs. KMX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Price-to-Book Ratio (MRQ)

IP

1.33

Containers & Packaging Industry

Max
5.28
Q3
3.30
Median
2.35
Q1
1.57
Min
0.89

IP’s P/B Ratio of 1.33 is in the lower quartile for the Containers & Packaging industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

KMX

1.54

Specialty Retail Industry

Max
16.93
Q3
7.98
Median
3.69
Q1
1.79
Min
0.21

KMX’s P/B Ratio of 1.54 is in the lower quartile for the Specialty Retail industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

IP vs. KMX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Containers & Packaging and Specialty Retail industry benchmarks.

Valuation at a Glance

SymbolIPKMX
Price-to-Earnings Ratio (TTM)--15.58
Price-to-Sales Ratio (TTM)1.140.32
Price-to-Book Ratio (MRQ)1.331.54
Price-to-Free Cash Flow Ratio (TTM)49.6412.58