LOUISIANA-PACIFIC CORP (LPX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LPX - US5463471053 - Common Stock
85.11 USD
+1.22 (+1.45%)
85.11 USD
0 (0%)
Overall LPX gets a fundamental rating of 6 out of 10. We evaluated LPX against 9 industry peers in the Paper & Forest Products industry. LPX gets an excellent profitability rating and is at the same time showing great financial health properties. LPX does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year LPX was profitable.
LPX had a positive operating cash flow in the past year.
LPX had positive earnings in each of the past 5 years.
In the past 5 years LPX always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 8.15%, LPX belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
Looking at the Return On Equity, with a value of 12.42%, LPX is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
With an excellent Return On Invested Capital value of 10.37%, LPX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LPX is significantly above the industry average of 5.94%.
The last Return On Invested Capital (10.37%) for LPX is well below the 3 year average (24.24%), which needs to be investigated, but indicates that LPX had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.15% | ||
| ROE | 12.42% | ||
| ROIC | 10.37% |
ROA(3y)23.29%
ROA(5y)31.31%
ROE(3y)37.45%
ROE(5y)52.86%
ROIC(3y)24.24%
ROIC(5y)33.4%
1.3 Margins
LPX has a better Profit Margin (7.65%) than 77.78% of its industry peers.
LPX's Profit Margin has declined in the last couple of years.
LPX has a Operating Margin of 11.98%. This is amongst the best in the industry. LPX outperforms 88.89% of its industry peers.
LPX's Operating Margin has improved in the last couple of years.
LPX has a Gross Margin of 23.60%. This is in the better half of the industry: LPX outperforms 66.67% of its industry peers.
In the last couple of years the Gross Margin of LPX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.98% | ||
| PM (TTM) | 7.65% | ||
| GM | 23.6% |
OM growth 3Y-25.58%
OM growth 5Y44.59%
PM growth 3Y-25.95%
PM growth 5YN/A
GM growth 3Y-17.4%
GM growth 5Y16.59%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LPX is creating value.
LPX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, LPX has less shares outstanding
The debt/assets ratio for LPX has been reduced compared to a year ago.
2.2 Solvency
LPX has an Altman-Z score of 6.47. This indicates that LPX is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.47, LPX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
LPX has a debt to FCF ratio of 2.43. This is a good value and a sign of high solvency as LPX would need 2.43 years to pay back of all of its debts.
LPX has a Debt to FCF ratio of 2.43. This is amongst the best in the industry. LPX outperforms 88.89% of its industry peers.
LPX has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
LPX has a Debt to Equity ratio of 0.20. This is in the better half of the industry: LPX outperforms 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 6.47 |
ROIC/WACC1.22
WACC8.48%
2.3 Liquidity
A Current Ratio of 2.93 indicates that LPX has no problem at all paying its short term obligations.
The Current ratio of LPX (2.93) is better than 77.78% of its industry peers.
A Quick Ratio of 1.72 indicates that LPX should not have too much problems paying its short term obligations.
LPX has a Quick ratio of 1.72. This is amongst the best in the industry. LPX outperforms 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The earnings per share for LPX have decreased strongly by -34.23% in the last year.
LPX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 73.82% yearly.
LPX shows a decrease in Revenue. In the last year, the revenue decreased by -3.29%.
LPX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.95% yearly.
EPS 1Y (TTM)-34.23%
EPS 3Y-24.9%
EPS 5Y73.82%
EPS Q2Q%-70.49%
Revenue 1Y (TTM)-3.29%
Revenue growth 3Y-9.1%
Revenue growth 5Y4.95%
Sales Q2Q%-8.17%
3.2 Future
The Earnings Per Share is expected to grow by 6.22% on average over the next years.
LPX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.11% yearly.
EPS Next Y-53.98%
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
EPS Next 5Y6.22%
Revenue Next Year-6.2%
Revenue Next 2Y-0.34%
Revenue Next 3Y2.74%
Revenue Next 5Y4.11%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.32, the valuation of LPX can be described as rather expensive.
Based on the Price/Earnings ratio, LPX is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.17, LPX is valued at the same level.
With a Price/Forward Earnings ratio of 21.96, LPX is valued on the expensive side.
Based on the Price/Forward Earnings ratio, LPX is valued a bit cheaper than 77.78% of the companies in the same industry.
LPX is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.32 | ||
| Fwd PE | 21.96 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LPX is on the same level as its industry peers.
LPX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.45 | ||
| EV/EBITDA | 12.31 |
4.3 Compensation for Growth
LPX has an outstanding profitability rating, which may justify a higher PE ratio.
LPX's earnings are expected to decrease with -3.26% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.32
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
5. Dividend
5.1 Amount
LPX has a Yearly Dividend Yield of 1.39%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.54, LPX pays a bit more dividend than its industry peers.
LPX's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
5.2 History
On average, the dividend of LPX grows each year by 14.78%, which is quite nice.
LPX has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of LPX decreased recently.
Dividend Growth(5Y)14.78%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
LPX pays out 35.19% of its income as dividend. This is a sustainable payout ratio.
LPX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP35.19%
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
85.11
+1.22 (+1.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners91.85%
Inst Owner Change0%
Ins Owners0.67%
Ins Owner Change-1.9%
Market Cap5.93B
Revenue(TTM)2.82B
Net Income(TTM)216.00M
Analysts72
Price Target103.76 (21.91%)
Short Float %7.54%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
Yearly Dividend1.04
Dividend Growth(5Y)14.78%
DP35.19%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-10.36%
Min EPS beat(2)-14.24%
Max EPS beat(2)-6.47%
EPS beat(4)2
Avg EPS beat(4)1.15%
Min EPS beat(4)-14.24%
Max EPS beat(4)18.86%
EPS beat(8)6
Avg EPS beat(8)14.03%
EPS beat(12)9
Avg EPS beat(12)54.74%
EPS beat(16)12
Avg EPS beat(16)42.76%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-1.29%
Max Revenue beat(2)1.24%
Revenue beat(4)3
Avg Revenue beat(4)0.51%
Min Revenue beat(4)-1.29%
Max Revenue beat(4)1.24%
Revenue beat(8)7
Avg Revenue beat(8)2.13%
Revenue beat(12)8
Avg Revenue beat(12)0.01%
Revenue beat(16)9
Avg Revenue beat(16)-1.66%
PT rev (1m)-0.17%
PT rev (3m)-4.03%
EPS NQ rev (1m)-38.85%
EPS NQ rev (3m)-78.58%
EPS NY rev (1m)-1.82%
EPS NY rev (3m)-12.35%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)-6.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.32 | ||
| Fwd PE | 21.96 | ||
| P/S | 2.1 | ||
| P/FCF | 41.45 | ||
| P/OCF | 14.08 | ||
| P/B | 3.41 | ||
| P/tB | 3.51 | ||
| EV/EBITDA | 12.31 |
EPS(TTM)3.65
EY4.29%
EPS(NY)3.88
Fwd EY4.55%
FCF(TTM)2.05
FCFY2.41%
OCF(TTM)6.05
OCFY7.1%
SpS40.52
BVpS24.97
TBVpS24.27
PEG (NY)N/A
PEG (5Y)0.32
Graham Number45.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.15% | ||
| ROE | 12.42% | ||
| ROCE | 14.35% | ||
| ROIC | 10.37% | ||
| ROICexc | 11.98% | ||
| ROICexgc | 12.28% | ||
| OM | 11.98% | ||
| PM (TTM) | 7.65% | ||
| GM | 23.6% | ||
| FCFM | 5.07% |
ROA(3y)23.29%
ROA(5y)31.31%
ROE(3y)37.45%
ROE(5y)52.86%
ROIC(3y)24.24%
ROIC(5y)33.4%
ROICexc(3y)28.99%
ROICexc(5y)41.73%
ROICexgc(3y)30.19%
ROICexgc(5y)44.61%
ROCE(3y)33.53%
ROCE(5y)46.2%
ROICexgc growth 3Y-39.19%
ROICexgc growth 5Y40.96%
ROICexc growth 3Y-38.01%
ROICexc growth 5Y42.51%
OM growth 3Y-25.58%
OM growth 5Y44.59%
PM growth 3Y-25.95%
PM growth 5YN/A
GM growth 3Y-17.4%
GM growth 5Y16.59%
F-Score6
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.43 | ||
| Debt/EBITDA | 0.73 | ||
| Cap/Depr | 200% | ||
| Cap/Sales | 9.85% | ||
| Interest Coverage | 24.14 | ||
| Cash Conversion | 88.26% | ||
| Profit Quality | 66.2% | ||
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | 6.47 |
F-Score6
WACC8.48%
ROIC/WACC1.22
Cap/Depr(3y)261.32%
Cap/Depr(5y)213.35%
Cap/Sales(3y)10.55%
Cap/Sales(5y)8.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-34.23%
EPS 3Y-24.9%
EPS 5Y73.82%
EPS Q2Q%-70.49%
EPS Next Y-53.98%
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
EPS Next 5Y6.22%
Revenue 1Y (TTM)-3.29%
Revenue growth 3Y-9.1%
Revenue growth 5Y4.95%
Sales Q2Q%-8.17%
Revenue Next Year-6.2%
Revenue Next 2Y-0.34%
Revenue Next 3Y2.74%
Revenue Next 5Y4.11%
EBIT growth 1Y-38.77%
EBIT growth 3Y-32.35%
EBIT growth 5Y51.74%
EBIT Next Year-20.88%
EBIT Next 3Y7%
EBIT Next 5Y11.54%
FCF growth 1Y184.62%
FCF growth 3Y-30.01%
FCF growth 5YN/A
OCF growth 1Y113.71%
OCF growth 3Y-25.87%
OCF growth 5Y30.64%
LOUISIANA-PACIFIC CORP / LPX FAQ
What is the fundamental rating for LPX stock?
ChartMill assigns a fundamental rating of 6 / 10 to LPX.
What is the valuation status for LPX stock?
ChartMill assigns a valuation rating of 3 / 10 to LOUISIANA-PACIFIC CORP (LPX). This can be considered as Overvalued.
Can you provide the profitability details for LOUISIANA-PACIFIC CORP?
LOUISIANA-PACIFIC CORP (LPX) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for LPX stock?
The Price/Earnings (PE) ratio for LOUISIANA-PACIFIC CORP (LPX) is 23.32 and the Price/Book (PB) ratio is 3.41.
Is the dividend of LOUISIANA-PACIFIC CORP sustainable?
The dividend rating of LOUISIANA-PACIFIC CORP (LPX) is 5 / 10 and the dividend payout ratio is 35.19%.