CLEARWATER PAPER CORP (CLW) Stock Fundamental Analysis
NYSE:CLW - New York Stock Exchange, Inc. - US18538R1032 - Common Stock
Taking everything into account, CLW scores 4 out of 10 in our fundamental rating. CLW was compared to 9 industry peers in the Paper & Forest Products industry. CLW has an excellent profitability rating, but there are some minor concerns on its financial health. CLW has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
CLW had positive earnings in the past year.
In the past year CLW had a positive cash flow from operations.
In multiple years CLW reported negative net income over the last 5 years.
In the past 5 years CLW always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 1.29%, CLW is doing good in the industry, outperforming 66.67% of the companies in the same industry.
CLW's Return On Equity of 4.81% is fine compared to the rest of the industry. CLW outperforms 66.67% of its industry peers.
The Return On Invested Capital of CLW (1.56%) is better than 66.67% of its industry peers.
CLW had an Average Return On Invested Capital over the past 3 years of 6.14%. This is in line with the industry average of 6.12%.
The 3 year average ROIC (6.14%) for CLW is well above the current ROIC(1.56%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 4.81% | ||
| ROIC | 1.56% |
ROA(3y)2.49%
ROA(5y)2.29%
ROE(3y)6.22%
ROE(5y)6.43%
ROIC(3y)6.14%
ROIC(5y)5.52%
1.3 Margins
Looking at the Profit Margin, with a value of 1.60%, CLW is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Profit Margin of CLW has grown nicely.
The Operating Margin of CLW (2.34%) is better than 66.67% of its industry peers.
CLW's Operating Margin has improved in the last couple of years.
CLW has a Gross Margin of 10.55%. This is comparable to the rest of the industry: CLW outperforms 55.56% of its industry peers.
CLW's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.34% | ||
| PM (TTM) | 1.6% | ||
| GM | 10.55% |
OM growth 3Y0.47%
OM growth 5Y15.4%
PM growth 3Y7.81%
PM growth 5YN/A
GM growth 3Y0.29%
GM growth 5Y8.02%
2. Health
2.1 Basic Checks
CLW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CLW has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CLW remains at a similar level compared to 5 years ago.
The debt/assets ratio for CLW has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.57, we must say that CLW is in the distress zone and has some risk of bankruptcy.
CLW has a Altman-Z score (1.57) which is in line with its industry peers.
The Debt to FCF ratio of CLW is 21.59, which is on the high side as it means it would take CLW, 21.59 years of fcf income to pay off all of its debts.
CLW's Debt to FCF ratio of 21.59 is fine compared to the rest of the industry. CLW outperforms 66.67% of its industry peers.
A Debt/Equity ratio of 1.72 is on the high side and indicates that CLW has dependencies on debt financing.
CLW's Debt to Equity ratio of 1.72 is in line compared to the rest of the industry. CLW outperforms 44.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 21.59 | ||
| Altman-Z | 1.57 |
ROIC/WACC0.2
WACC7.63%
2.3 Liquidity
A Current Ratio of 1.78 indicates that CLW should not have too much problems paying its short term obligations.
With a Current ratio value of 1.78, CLW perfoms like the industry average, outperforming 44.44% of the companies in the same industry.
CLW has a Quick Ratio of 1.13. This is a normal value and indicates that CLW is financially healthy and should not expect problems in meeting its short term obligations.
CLW's Quick ratio of 1.13 is in line compared to the rest of the industry. CLW outperforms 44.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
CLW shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.98%.
CLW shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.59% yearly.
Looking at the last year, CLW shows a decrease in Revenue. The Revenue has decreased by -4.34% in the last year.
Measured over the past years, CLW shows a small growth in Revenue. The Revenue has been growing by 3.85% on average per year.
EPS 1Y (TTM)-40.98%
EPS 3Y8.53%
EPS 5Y21.59%
EPS Q2Q%-84.02%
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y3.68%
Revenue growth 5Y3.85%
Sales Q2Q%-24.35%
3.2 Future
Based on estimates for the next years, CLW will show a very negative growth in Earnings Per Share. The EPS will decrease by -31.69% on average per year.
The Revenue is expected to decrease by -9.47% on average over the next years.
EPS Next Y-90.87%
EPS Next 2Y-57.45%
EPS Next 3Y-31.69%
EPS Next 5YN/A
Revenue Next Year-5.75%
Revenue Next 2Y-13.56%
Revenue Next 3Y-9.47%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
CLW is valuated reasonably with a Price/Earnings ratio of 10.29.
Based on the Price/Earnings ratio, CLW is valued cheaper than 100.00% of the companies in the same industry.
CLW is valuated cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 25.35, which means the current valuation is very expensive for CLW.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CLW is on the same level as its industry peers.
CLW's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 25.35 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CLW is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, CLW is valued cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.63 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
The decent profitability rating of CLW may justify a higher PE ratio.
A cheap valuation may be justified as CLW's earnings are expected to decrease with -31.69% in the coming years.
PEG (NY)N/A
PEG (5Y)0.48
EPS Next 2Y-57.45%
EPS Next 3Y-31.69%
5. Dividend
5.1 Amount
CLW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CLEARWATER PAPER CORP
NYSE:CLW (1/21/2025, 8:04:00 PM)
After market: 30.98 0 (0%)30.98
+0.74 (+2.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners95.05%
Inst Owner Change0.19%
Ins Owners2.46%
Ins Owner Change0%
Market Cap513.34M
Analysts80
Price Target37.74 (21.82%)
Short Float %2.43%
Short Ratio0.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-60.05%
Min EPS beat(2)-139.6%
Max EPS beat(2)19.49%
EPS beat(4)2
Avg EPS beat(4)-24.61%
Min EPS beat(4)-139.6%
Max EPS beat(4)27.55%
EPS beat(8)4
Avg EPS beat(8)-35.02%
EPS beat(12)7
Avg EPS beat(12)-19.22%
EPS beat(16)9
Avg EPS beat(16)-13.44%
Revenue beat(2)0
Avg Revenue beat(2)-19.07%
Min Revenue beat(2)-37.39%
Max Revenue beat(2)-0.75%
Revenue beat(4)1
Avg Revenue beat(4)-9.82%
Min Revenue beat(4)-37.39%
Max Revenue beat(4)2.16%
Revenue beat(8)2
Avg Revenue beat(8)-5.66%
Revenue beat(12)6
Avg Revenue beat(12)-2.97%
Revenue beat(16)7
Avg Revenue beat(16)-2.48%
PT rev (1m)0%
PT rev (3m)-22.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-128.95%
EPS NY rev (1m)0%
EPS NY rev (3m)205%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-27.01%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)-17.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.29 | ||
| Fwd PE | 25.35 | ||
| P/S | 0.26 | ||
| P/FCF | 9.63 | ||
| P/OCF | 3.17 | ||
| P/B | 0.77 | ||
| P/tB | 0.84 | ||
| EV/EBITDA | 10.85 |
EPS(TTM)3.01
EY9.72%
EPS(NY)1.22
Fwd EY3.94%
FCF(TTM)3.22
FCFY10.38%
OCF(TTM)9.78
OCFY31.58%
SpS121.04
BVpS40.11
TBVpS36.96
PEG (NY)N/A
PEG (5Y)0.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 4.81% | ||
| ROCE | 2.26% | ||
| ROIC | 1.56% | ||
| ROICexc | 1.59% | ||
| ROICexgc | 1.63% | ||
| OM | 2.34% | ||
| PM (TTM) | 1.6% | ||
| GM | 10.55% | ||
| FCFM | 2.66% |
ROA(3y)2.49%
ROA(5y)2.29%
ROE(3y)6.22%
ROE(5y)6.43%
ROIC(3y)6.14%
ROIC(5y)5.52%
ROICexc(3y)6.33%
ROICexc(5y)5.67%
ROICexgc(3y)6.37%
ROICexgc(5y)5.76%
ROCE(3y)8.91%
ROCE(5y)8.01%
ROICexcg growth 3Y7.53%
ROICexcg growth 5Y20.57%
ROICexc growth 3Y8.54%
ROICexc growth 5Y21.47%
OM growth 3Y0.47%
OM growth 5Y15.4%
PM growth 3Y7.81%
PM growth 5YN/A
GM growth 3Y0.29%
GM growth 5Y8.02%
F-Score4
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 21.59 | ||
| Debt/EBITDA | 7.62 | ||
| Cap/Depr | 105.53% | ||
| Cap/Sales | 5.42% | ||
| Interest Coverage | 0.93 | ||
| Cash Conversion | 108% | ||
| Profit Quality | 166.56% | ||
| Current Ratio | 1.78 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 1.57 |
F-Score4
WACC7.63%
ROIC/WACC0.2
Cap/Depr(3y)47.92%
Cap/Depr(5y)60.12%
Cap/Sales(3y)2.44%
Cap/Sales(5y)3.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-40.98%
EPS 3Y8.53%
EPS 5Y21.59%
EPS Q2Q%-84.02%
EPS Next Y-90.87%
EPS Next 2Y-57.45%
EPS Next 3Y-31.69%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y3.68%
Revenue growth 5Y3.85%
Sales Q2Q%-24.35%
Revenue Next Year-5.75%
Revenue Next 2Y-13.56%
Revenue Next 3Y-9.47%
Revenue Next 5YN/A
EBIT growth 1Y-67.41%
EBIT growth 3Y4.17%
EBIT growth 5Y19.85%
EBIT Next Year0.6%
EBIT Next 3Y-7.27%
EBIT Next 5YN/A
FCF growth 1Y-60.95%
FCF growth 3Y-17.37%
FCF growth 5YN/A
OCF growth 1Y-1.7%
OCF growth 3Y-8.26%
OCF growth 5Y2.46%