BofA shakes up Packaging and Paper Products coverage with six rating changes

BofA analyst George Staphos refreshed the firm’s ratings among its Packaging and Paper/Forest Products coverage following calendar Q3 reporting season, upgrading Ball Corp (BALL), O-I Glass (OI) and Sylvamo (SLVM) to Buy, downgrading Weyerhaeuser (WY) to Neutral, and downgrading Karat (KRT) and Potlatch (PCH) to Underperform. While the firm noted it made “double up-/downgrades” in the cases of Karat, Potlatch and Sylvamo, it adds that “generally we have not changed any of our fundamental views on an absolute basis” and tell investors that it is “simply evaluating earnings momentum, catalysts and valuation to determine best ideas into year-end.” Ball, O-I and Sylvamo have some momentum and catalysts, while a lack of near-term catalysts are cited for the firm’s downgrades of the other three.