LOUISIANA-PACIFIC CORP (LPX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LPX - US5463471053 - Common Stock
82.97 USD
+0.42 (+0.51%)
82.97 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to LPX. LPX was compared to 9 industry peers in the Paper & Forest Products industry. Both the health and profitability get an excellent rating, making LPX a very profitable company, without any liquidiy or solvency issues. 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.
In the past year LPX had a positive cash flow from operations.
LPX had positive earnings in each of the past 5 years.
LPX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LPX's Return On Assets of 8.15% is amongst the best of the industry. LPX outperforms 88.89% of its industry peers.
The Return On Equity of LPX (12.42%) is better than 66.67% of its industry peers.
LPX has a better Return On Invested Capital (10.37%) than 100.00% of its industry peers.
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.
In the last couple of years the Profit Margin of LPX has declined.
LPX has a better Operating Margin (11.98%) than 88.89% of its industry peers.
In the last couple of years the Operating Margin of LPX has grown nicely.
With a decent Gross Margin value of 23.60%, LPX is doing good in the industry, outperforming 66.67% of the companies in the same industry.
LPX's Gross Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), LPX is creating value.
LPX has less shares outstanding than it did 1 year ago.
The number of shares outstanding for LPX has been reduced compared to 5 years ago.
The debt/assets ratio for LPX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.42 indicates that LPX is not in any danger for bankruptcy at the moment.
LPX has a better Altman-Z score (6.42) than 100.00% of its industry peers.
The Debt to FCF ratio of LPX is 2.43, which is a good value as it means it would take LPX, 2.43 years of fcf income to pay off all of its debts.
LPX's Debt to FCF ratio of 2.43 is amongst the best of the industry. LPX outperforms 88.89% of its industry peers.
A Debt/Equity ratio of 0.20 indicates that LPX is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.20, LPX is doing good in the industry, outperforming 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 6.42 |
ROIC/WACC1.23
WACC8.45%
2.3 Liquidity
A Current Ratio of 2.93 indicates that LPX has no problem at all paying its short term obligations.
LPX has a Current ratio of 2.93. This is in the better half of the industry: LPX outperforms 77.78% of its industry peers.
LPX has a Quick Ratio of 1.72. This is a normal value and indicates that LPX is financially healthy and should not expect problems in meeting its short term obligations.
LPX's Quick ratio of 1.72 is amongst the best of 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
LPX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -34.23%.
LPX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 73.82% yearly.
Looking at the last year, LPX shows a decrease in Revenue. The Revenue has decreased by -3.29% in the last year.
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.
The Revenue is expected to grow by 4.11% on average over the next years.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.73, which indicates a rather expensive current valuation of LPX.
77.78% of the companies in the same industry are more expensive than LPX, based on the Price/Earnings ratio.
LPX is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.57, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 21.41, which indicates a rather expensive current valuation of LPX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LPX indicates a somewhat cheap valuation: LPX is cheaper than 77.78% of the companies listed in the same industry.
LPX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.73 | ||
| Fwd PE | 21.41 |
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 ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.41 | ||
| EV/EBITDA | 12.18 |
4.3 Compensation for Growth
LPX has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as LPX's earnings are expected to decrease with -3.26% in the coming years.
PEG (NY)N/A
PEG (5Y)0.31
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
5. Dividend
5.1 Amount
LPX has a Yearly Dividend Yield of 1.36%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.94, LPX has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.00, LPX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
5.2 History
The dividend of LPX is nicely growing with an annual growth rate of 14.78%!
LPX has been paying a dividend for at least 10 years, so it has 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
35.19% of the earnings are spent on dividend by LPX. This is a low number and 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%
82.97
+0.42 (+0.51%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners91.94%
Inst Owner Change0.34%
Ins Owners0.67%
Ins Owner Change-1.9%
Market Cap5.78B
Revenue(TTM)2.82B
Net Income(TTM)216.00M
Analysts72
Price Target103.76 (25.06%)
Short Float %6.9%
Short Ratio4.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
Yearly Dividend1.04
Dividend Growth(5Y)14.78%
DP35.19%
Div Incr Years1
Div Non Decr Years1
Ex-Date
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)-51.9%
EPS NQ rev (3m)-78.58%
EPS NY rev (1m)-7.7%
EPS NY rev (3m)-12.35%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)-6.92%
Revenue NY rev (1m)-1.39%
Revenue NY rev (3m)-1.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.73 | ||
| Fwd PE | 21.41 | ||
| P/S | 2.05 | ||
| P/FCF | 40.41 | ||
| P/OCF | 13.72 | ||
| P/B | 3.32 | ||
| P/tB | 3.42 | ||
| EV/EBITDA | 12.18 |
EPS(TTM)3.65
EY4.4%
EPS(NY)3.88
Fwd EY4.67%
FCF(TTM)2.05
FCFY2.47%
OCF(TTM)6.05
OCFY7.29%
SpS40.52
BVpS24.97
TBVpS24.27
PEG (NY)N/A
PEG (5Y)0.31
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 | 6.42 |
F-Score6
WACC8.45%
ROIC/WACC1.23
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 of LOUISIANA-PACIFIC CORP (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.
How financially healthy is LOUISIANA-PACIFIC CORP?
The financial health rating of LOUISIANA-PACIFIC CORP (LPX) is 9 / 10.
How sustainable is the dividend of LOUISIANA-PACIFIC CORP (LPX) stock?
The dividend rating of LOUISIANA-PACIFIC CORP (LPX) is 4 / 10 and the dividend payout ratio is 35.19%.