Jefferies analyst Philip Ng, in an update to an earlier note to investors, stated that based on his further understanding of the situation he now thinks the damage to Packaging Corp.'s (PKG) DeRidder plant from an explosion was contained to the pulp area and should not result in a material impact on production or any extended downtime. While the DeRidder mill issues won't have the supply impact he initially thought, he added that the market is still tight, demand remains strong, and he still foresees a spring containerboard price increase as likely.

Wells Fargo lowered the firm's price target on International Paper (IP) to $37 from $42 and keeps an Equal Weight rating on the shares. While improving containerboard fundamentals are positive for International Paper, Wells believes the DS Smith (DITHF) merger remains an overhang, the analyst tells investors in a research note. In addition, the firm says it remains unclear how long or what level of return is associated with increased spend across the company's Industrial Packaging operations.

Reports Q1 revenue $4.62B, consensus $4.56B. "International Paper made progress executing our strategic initiatives in the first quarter,'' said Mark Sutton, chairman and CEO. "We saw commercial benefits from our business strategies, as well as cost benefits from mill system optimization. Although costs remain elevated and volumes were seasonally lower in the quarter, market trends continue to improve."