Pulp boosted Stora Enso's share price by 30% in one month
Summary:
Stora Enso has renewed its organisation and will change its outlook formulation.
Stora Enso's units are now called: Printing and Reading, Renewable Packing and Biomaterials. Ulla Paajanen-Sainio, Head of Investor Relations at Stora Enso, says that following the company's developments should now be easier for investors. Paajanen-Sainio says that, in future, the company will forecast its own Group-level sales and operating profit.
Thus far the company has simply given a market overview regarding product prices and demand. Katja Keitaanniemi of Swedbank approves of Stora Enso's decision to combine pulp production and tree plantations in one unit. Market pulp used to be included in Stora Enso's paper unit. The new Biomaterials unit lets investors easily follow developments in the pulp market.
Stora Enso has soared at the stock exchange at the beginning of the year. The company's share price has gone up 30% to €5.3. Keitaanniemi was expecting this, as forest shares were unduly punished at the end of the year. The weaker euro has boosted all forest shares but Stora Enso's pulp production capacity is behind its success, Keitaanniemi says. Many are anticipating pulp price increases.
Arvopaperi - FINLANDIA - 17 enero 2012