Sylvamo Corp (SLVM) AI Stock Analysis

• Market Cap: $2.06B
• Dividend Yield: 3.51%
• Average Volume (3M): 327.11K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 1.02
• Revenue Growth: -8.92%
• EPS Growth: -32.30%
• Country: US
• Employees: 6,500
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 1.44
• Shares Outstanding: 39,438,255
• 10 Day Avg. Volume: 274,665
• 30 Day Avg. Volume: 327,110
• PEG Ratio: 0.49
• Price to Book (P/B): 3.83
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 6.92
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $61.67
• Price Target Upside: 18.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 5.35
• Revenue Forecast (FY): $3.23B

• Rating: 69 Neutral
• Price Target: $57.00 ▲(9.28% Upside)

Sylvamo Corp's overall stock score reflects a balanced view of its financial performance, technical indicators, and valuation. The primary strengths include operational efficiency and a low P/E ratio, while challenges in revenue growth and cash flow generation weigh on the score. Positive technical momentum and a solid dividend yield provide additional support, but market conditions in Europe and Latin America present ongoing risks.

Positive Factors

Operational Margin Strength

Sustained adjusted EBITDA and an 18% margin demonstrate durable operational efficiency in a commodity paper business. Higher margins provide internal funds for capex, working capital and shareholder returns, improving resilience through demand cycles over the medium term.

Improving Leverage

Improved leverage (D/E ~0.85 TTM) reduces refinancing and liquidity risk compared with prior levels. Stronger capital structure enhances strategic flexibility to invest in capacity, absorb cyclical downturns, and support capital returns without immediately pressuring solvency.

Brand and Channel Positioning

Recognized brands and multi-channel distribution across North America, Europe and Latin America create durable customer relationships and pricing leverage. Brand licensing and premium mix help defend margins and sustain revenue against pure commodity competitors over time.

Negative Factors

Weak Free Cash Flow Trend

A ~-21% FCF growth rate signals weakening cash generation, constraining reinvestment, debt reduction and sustained shareholder payouts. Persistent negative FCF trends limit flexibility to fund capacity projects or absorb prolonged industry softness without external financing.

Regional Demand and Pricing Pressure

A 5% demand decline in Latin America and ongoing European price pressure reflect structural market weakness. Prolonged regional softness reduces volumes and mix quality, making revenue recovery and margin sustainability more difficult in core end markets.

Supply Agreement and Capacity Timing Risk

Loss of a key supply agreement creates a structural operational gap, forcing inventory builds and an estimated $30m EBITDA hit in 2026. This exposes the company to higher carrying costs, supply continuity risk and reliance on Eastover capacity arriving late 2026 to restore throughput.

Sylvamo Corp Business Overview & Revenue Model

Company Description

Sylvamo Corporation produces and supplies printing paper in Latin America, Europe, and North America. The company offers uncoated freesheet for paper products, such as cutsize and offset paper; and markets pulp, aseptic, and liquid packaging board, as well as coated unbleached kraft papers. It also produces hardwood pulp, including bleached hardwood kraft and bleached eucalyptus kraft; bleached softwood kraft; and bleached chemi-thermomechanical pulp. The company distributes its products through a variety of channels, including merchants and distributors, office product suppliers, e-commerce, retailers, and dealers. It also sells directly to converters that produce envelopes, forms, and other related products. The company was founded in 1898 and is headquartered in Memphis, Tennessee.

How the Company Makes Money

Sylvamo Corp generates revenue primarily through the sale of uncoated freesheet paper products to various industries, including commercial printing and publishing. The company's revenue model is based on a combination of direct sales to customers and distribution through partnerships with wholesalers and retailers. Key revenue streams include bulk orders from large printing companies and specialty paper products tailored for specific applications. Additionally, Sylvamo benefits from cost management strategies and operational efficiencies, which enhance its profitability. The company also focuses on sustainable practices, which can appeal to environmentally conscious customers and potentially lead to increased market share.

Sylvamo Corp Financial Statement Overview

Summary

Sylvamo Corp faces challenges in revenue growth and cash flow generation, impacting its financial performance. Despite maintaining operational efficiency and leverage improvements, declining profitability and cash flow are areas of concern.

Income Statement

Sylvamo Corp's income statement shows a mixed performance. The company has experienced a decline in revenue growth rate, with a negative growth of -3.35% in the TTM period. Gross profit margin and net profit margin have also decreased compared to previous years, indicating pressure on profitability. However, the company maintains a reasonable EBIT and EBITDA margin, suggesting operational efficiency. The decline in revenue and margins is a concern, but the company has managed to sustain profitability.

Balance Sheet

The balance sheet of Sylvamo Corp reflects a moderate financial position. The debt-to-equity ratio has improved over the years, indicating better leverage management, but remains relatively high at 0.85 in the TTM period. Return on equity has decreased, reflecting reduced profitability on shareholders' equity. The equity ratio is stable, suggesting a balanced asset structure. Overall, the balance sheet shows improvement in leverage but highlights the need for enhanced profitability.

Cash Flow

Sylvamo Corp's cash flow statement indicates challenges in cash generation. The free cash flow growth rate is negative at -21.49% in the TTM period, highlighting a decline in cash available for reinvestment. The operating cash flow to net income ratio is below 1, suggesting that operating cash flow is not fully covering net income. Despite these challenges, the company maintains a healthy free cash flow to net income ratio, indicating efficient cash conversion. The cash flow position requires attention to improve cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.43B	3.77B	3.72B	3.63B	2.83B	2.38B
Gross Profit	727.00M	940.00M	912.00M	1.01B	685.00M	456.00M
EBITDA	459.00M	617.00M	572.00M	645.00M	485.00M	234.00M
Net Income	180.00M	302.00M	253.00M	118.00M	331.00M	170.00M
Balance Sheet
Total Assets	2.70B	2.60B	2.87B	2.71B	2.60B	2.91B
Cash, Cash Equivalents and Short-Term Investments	94.00M	205.00M	220.00M	360.00M	159.00M	95.00M
Total Debt	880.00M	804.00M	959.00M	1.03B	1.40B	72.00M
Total Liabilities	1.73B	1.76B	1.97B	2.03B	2.42B	799.00M
Stockholders Equity	977.00M	847.00M	901.00M	678.00M	182.00M	2.11B
Cash Flow
Free Cash Flow	106.00M	248.00M	294.00M	289.00M	480.00M	284.00M
Operating Cash Flow	338.00M	469.00M	504.00M	438.00M	549.00M	359.00M
Investing Cash Flow	-232.00M	-221.00M	-377.00M	180.00M	127.00M	-79.00M
Financing Cash Flow	-324.00M	-310.00M	-219.00M	-470.00M	-589.00M	-350.00M

Sylvamo Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 52.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SLVM, the sentiment is Positive. The current price of 52.16 is above the 20-day moving average (MA) of 49.21, above the 50-day MA of 47.42, and above the 200-day MA of 48.39, indicating a bullish trend. The MACD of 1.06 indicates Negative momentum. The RSI at 70.18 is Negative, neither overbought nor oversold. The STOCH value of 86.51 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SLVM.

Sylvamo Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SLVM	69 Neutral	$2.06B	11.97	18.81%	3.51%	-8.92%	-32.30%
UFPI	68 Neutral	$6.09B	19.51	9.78%	1.53%	-3.90%	-25.97%
SUZ	62 Neutral	$12.17B	10.19	14.56%	1.96%	6.65%	47.88%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LPX	59 Neutral	$6.41B	29.67	12.75%	1.37%	-3.26%	-46.80%
MERC	49 Neutral	$178.17M	-1.06	-39.37%	10.77%	-5.85%	9.13%
CLW	46 Neutral	$326.06M	-2.06	-10.47%	―	-21.76%	-1214.73%

Sylvamo Corp Corporate Events

Sylvamo Corp Adopts Shareowner Rights Plan

On November 10, 2025, Sylvamo Corp‘s board of directors adopted a limited-duration shareowner rights plan to protect the long-term value for all shareowners following the termination of a cooperation agreement with Atlas Holdings. This plan, effective immediately, aims to prevent any person or group from gaining control of the company without fair compensation to shareowners, triggered if a person or group acquires 15% or more of the company’s common stock. The rights plan, similar to one adopted in 2022, will expire on November 9, 2026, but allows the board to consider an earlier termination if necessary.

The most recent analyst rating on (SLVM) stock is a Hold with a $49.00 price target. To see the full list of analyst forecasts on Sylvamo Corp stock, see the SLVM Stock Forecast page.

Sylvamo Corp Board Members Resign Amid Cooperation End

On November 5, 2025, Sylvamo Corporation saw the resignation of two of its board members, Karl Meyers and Mark Wilde, as part of the termination of the ‘Cooperation Period’ under the Cooperation Agreement with Atlas FRM LLC. The Atlas Group also waived its rights to recommend replacements for these directors, leading to the end of the Cooperation Period on November 13, 2025.

The most recent analyst rating on (SLVM) stock is a Hold with a $46.00 price target. To see the full list of analyst forecasts on Sylvamo Corp stock, see the SLVM Stock Forecast page.

Sylvamo Corp Signs New Agreement with International Paper

On October 27, 2025, Sylvamo North America, LLC entered into a Letter Agreement with International Paper Company and amended a Brazil Payment Agreement involving International Paper Investments and Sylvamo Papers Holding. These agreements, signed by Sylvamo Corporation’s Senior Vice President and Chief Administrative and Legal Officer, Matthew Barron, signify ongoing strategic collaborations and financial arrangements between Sylvamo and International Paper, potentially impacting their operational and financial dynamics.

The most recent analyst rating on (SLVM) stock is a Hold with a $46.00 price target. To see the full list of analyst forecasts on Sylvamo Corp stock, see the SLVM Stock Forecast page.