UPDATE: UBS Investment Research Raises PT to $43 on International Paper

UBS Investment Research increases its price target by $4 to $43 on Buy-rated International Paper (NYSE: IP) as the company's major refocusing yields results.

UBS Investment Research notes, "In mid-2005 IP embarked on a major transformation which resulted in $11+ bn in asset sales and major refocusing of the business. IP has cut its reliance on non-recurring land sale income and materially reduced its exposure to US uncoated free sheet. At the same time, it has increased its exposure to US containerboard, a market which we view as having a favorable long-term structural advantage. Overall earnings quality, profitability, cash flow and leverage have improved."

IP closed at $35.71 a share on Wednesday.