WFT:CA:TSX-West Fraser Timber Co. Ltd.

EQUITY | Forest Products | Toronto Stock Exchange

Last Closing

CAD 63.6

Change

-0.55 (-0.86)%

Market Cap

CAD 3.75B

Volume

0.36M

Analyst Target

CAD 66.16
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

West Fraser Timber Co.Ltd is an integrated wood products company producing lumber, wood chips, LVL, MDF, plywood, pulp and newsprint with facilities in western Canada and the southern United States.

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

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Relative Returns (From:    To: 2018-12-14 )

Largest Industry Peers for Forest Products

ETFs Containing WFT:CA

N/A

Market Performance

  Market Performance vs. Industry/Classification (Forest Products) Market Performance vs. Exchange (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -18.01% 71% C- 29% F
Dividend Return 0.45% 10% F 3% F
Total Return -17.56% 64% D 26% F
Trailing 12 Months  
Capital Gain -18.12% 71% C- 27% F
Dividend Return 0.59% 10% F 4% F
Total Return -17.52% 57% F 24% F
Trailing 5 Years  
Capital Gain 31.13% 79% B- 77% C+
Dividend Return 3.34% 9% A- 5% F
Total Return 34.47% 57% F 71% C-
Average Annual (5 Year Horizon)  
Capital Gain 17.35% 71% C- 90% A-
Dividend Return 17.93% 71% C- 89% A-
Total Return 0.58% 18% F 10% F
Risk Return Profile  
Volatility (Standard Deviation) 36.01% 43% F 18% F
Risk Adjusted Return 49.79% 50% F 59% D-
Market Capitalization 3.75B 100% F 96% N/A

Key Financial Ratios

  Ratio vs. Industry/Classification (Forest Products) Ratio vs. Market (Toronto Stock Exchange)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 16.30 56% 53%
Price/Book Ratio 1.47 31% 32%
Price / Cash Flow Ratio 1.12 38% 45%
Price/Free Cash Flow Ratio 6.27 50% 36%
Management Effectiveness  
Return on Equity 33.99% 94% 94%
Return on Invested Capital 38.11% 81% 96%
Return on Assets 20.85% 88% 96%
Debt to Equity Ratio 23.25% 86% 70%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Below median total returns

The company has under performed its peers on annual average total returns in the past 5 years.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Low Dividend Growth

This stock has shown below median dividend growth in the previous 5 years compared to its sector.