What Is IP Fair Value?
International Paper (IP) fair value estimate using multiple valuation models, updated daily.
As of July 16, 2026, International Paper (IP) has a composite fair value estimate of $169.62 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $36.74, suggesting the stock is undervalued by 361.7%.
Data as of July 16, 2026 (today)
Composite Fair Value
Undervalued4 of 4 models$169.62
vs. current price of $36.74(+361.7%)
How Is IP Fair Value Calculated?
Four independent models estimate what IP is worth. Each uses different inputs and assumptions. The composite blends them by weight.
IP Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$301.69
+721.1%Undervalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$138.85
+277.9%Undervalued
Inputs used
IP Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$29.44
-19.9%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$68.84
+87.4%Undervalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $36.74 is 721.1% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $2.14B | $1.99B |
| Year 2 | $2.67B | $2.31B |
| Year 3 | $3.34B | $2.68B |
| Year 4 | $4.18B | $3.12B |
| Year 5 | $5.22B | $3.62B |
| Year 6 | $6.53B | $4.21B |
| Year 7 | $8.16B | $4.88B |
| Year 8 | $10.20B | $5.67B |
| Year 9 | $12.75B | $6.59B |
| Year 10 | $15.94B | $7.66B |
| Terminal Value | $319.97B | $153.74B |
What Are IP's Key Financial Metrics?
Earnings & Growth
Current Price
$36.74
EPS (TTM)
-$5.22
Forward P/E
13.3
Profit Margin
-13.8%
Cash & Balance Sheet
Free Cash Flow
1.7B
EBITDA
4B
Book Value
$27.97
Total Debt
9.8B
What Do Analysts Say About IP?
Low
$39.00
Average
$42.18
High
$51.00
Upside
+14.8%
IP Fair Value FAQ
What is the fair value of IP?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), IP's estimated fair value is $169.62. The stock is currently trading at $36.74, which makes it undervalued by our analysis.
How is IP's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is IP overvalued or undervalued?
Based on our analysis, IP is undervalued. The current price of $36.74 is 361.7% below our estimated fair value of $169.62.
What do Wall Street analysts say about IP?
11 analysts cover International Paper with a consensus rating of "Buy." The average price target is $42.18, ranging from $39.00 to $51.00. This implies 14.8% upside from the current price.