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UBS Trims International Paper (IP) Target as Cost-Saving Efforts Continue

International Paper Company (NYSE:IP) is included among the 13 Best February Dividend Stocks to Buy.

On January 12, UBS analyst Anojja Shah trimmed International Paper Company (NYSE:IP)’s price target to $51 from $53 while maintaining a Buy rating. The firm pointed to ongoing self-help efforts and cost savings tied to recent mill closures, along with the company’s longer-term goal of reaching $5 billion in EBITDA by 2027.

International Paper has also been named to RBC Capital Markets’ Top 30 Global Ideas list for 2026. RBC analyst Matthew McKellar and his team said the company is well-positioned to benefit from tighter containerboard capacity in North America, which could support price increases in the first half of 2026. The firm also highlighted International Paper’s progress on internal efficiency initiatives, which are expected to drive meaningful EBITDA growth by 2027.

RBC rates the stock Outperform and views it as a long-term holding, citing the company’s strong positions in industries that are becoming more consolidated. The firm also sees value in International Paper’s more disciplined capital allocation, with a focus on cutting costs, improving reliability, and investing in high-return projects that should strengthen the business over time. The company’s broader transformation plan is seen as an additional source of upside.

RBC’s $55 price target reflects a blended multiple of about 7.75 times estimated trend EBITDA and projected 2026 EBITDA.

International Paper Company (NYSE:IP) provides sustainable packaging solutions and is a global producer of renewable, fiber-based packaging products.

While we acknowledge the potential of IP as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than IP and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 12 Best Dow Jones Dividend Stocks to Buy According to Hedge Funds and Retirement Stock Portfolio: 12 Low Risk Investments

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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