Market Concerns Led to Clearwater Paper (CLW) Sell-Off Amid Weak Demand Outlook for SBS Paperboard

In its third-quarter 2025 capitalist letter, Longleaf Partners Small-Cap Fund highlighted stocks specified arsenic Clearwater Paper Corporation (NYSE:CLW). Clearwater Paper Corporation (NYSE:CLW) is simply a bleached paperboard manufacturer. The one-month instrumentality of Clearwater Paper Corporation (NYSE:CLW) was -2.03%, and its shares mislaid 33.78% of their worth implicit the past 52 weeks. On December 01, 2025, Clearwater Paper Corporation (NYSE:CLW) banal closed astatine $17.84 per share, with a marketplace capitalization of $286.12 million.

Longleaf Partners Small-Cap Fund stated the pursuing regarding Clearwater Paper Corporation (NYSE:CLW) successful its 3rd 4th 2025 capitalist letter:

"Clearwater Paper Corporation (NYSE:CLW)– Packaging institution Clearwater Paper was a detractor successful the quarter. The banal sold disconnected arsenic absorption signaled that request successful the already anemic coagulated bleached sulfate (SBS) paperboard marketplace volition beryllium lighter than antecedently anticipated owed to near-term economical uncertainty. This comes astatine a clip erstwhile the historically rational SBS marketplace remains oversupplied and good beneath mid-cycle. Management has a past of affirmative superior allocation moves and is presently evaluating investing successful swinging capableness to different substrate. This, on with rival closures, tariffs connected European imports and caller FX moves adds to the database of things that could assistance equilibrium the market. Share repurchase is besides a instrumentality that has been utilized wisely successful the past, and it continues to beryllium charismatic arsenic the concern trades astatine a debased single-digit aggregate of increasing mid-cycle FCF."

Clearwater Paper Corporation (NYSE:CLW) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 20 hedge money portfolios held Clearwater Paper Corporation (NYSE:CLW) astatine the extremity of the 3rd quarter, which was 23 successful the erstwhile quarter. While we admit the imaginable of Clearwater Paper Corporation (NYSE:CLW) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.