LOUISIANA-PACIFIC CORP (LPX) Stock Fundamental Analysis
USA - NYSE:LPX - US5463471053 - Common Stock
75.41 USD
-0.46 (-0.61%)
75.41 USD
0 (0%)
LPX gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
LPX had positive earnings in the past year.
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
LPX has a better Return On Assets (11.18%) than 88.89% of its industry peers.
LPX has a Return On Equity of 17.05%. This is in the better half of the industry: LPX outperforms 66.67% of its industry peers.
With an excellent Return On Invested Capital value of 13.03%, LPX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
LPX had an Average Return On Invested Capital over the past 3 years of 24.24%. This is significantly above the industry average of 5.72%.
The last Return On Invested Capital (13.03%) 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 | 11.18% | ||
| ROE | 17.05% | ||
| ROIC | 13.03% |
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's Profit Margin of 10.31% is fine compared to the rest of the industry. LPX outperforms 77.78% of its industry peers.
LPX's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 14.65%, LPX belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
LPX's Operating Margin has improved in the last couple of years.
LPX's Gross Margin of 25.30% is fine compared to the rest of the industry. LPX outperforms 77.78% of its industry peers.
LPX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.65% | ||
| PM (TTM) | 10.31% | ||
| GM | 25.3% |
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
LPX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
LPX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, LPX has less shares outstanding
Compared to 1 year ago, LPX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.21 indicates that LPX is not in any danger for bankruptcy at the moment.
The Altman-Z score of LPX (6.21) is better than 100.00% of its industry peers.
The Debt to FCF ratio of LPX is 1.25, which is an excellent value as it means it would take LPX, only 1.25 years of fcf income to pay off all of its debts.
LPX's Debt to FCF ratio of 1.25 is amongst the best of the industry. LPX outperforms 100.00% 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.
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 | 1.25 | ||
| Altman-Z | 6.21 |
ROIC/WACC1.55
WACC8.39%
2.3 Liquidity
LPX has a Current Ratio of 2.84. This indicates that LPX is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.84, LPX is doing good in the industry, outperforming 77.78% of the companies in the same industry.
A Quick Ratio of 1.67 indicates that LPX should not have too much problems paying its short term obligations.
LPX's Quick ratio of 1.67 is fine compared to the rest of the industry. LPX outperforms 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.84 | ||
| Quick Ratio | 1.67 |
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.
Looking at the last year, LPX shows a quite strong growth in Revenue. The Revenue has grown by 13.95% 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)13.95%
Revenue growth 3Y-9.1%
Revenue growth 5Y4.95%
Sales Q2Q%-8.17%
3.2 Future
Based on estimates for the next years, LPX will show a small growth in Earnings Per Share. The EPS will grow by 6.22% on average per year.
The Revenue is expected to grow by 4.11% on average over the next years.
EPS Next Y-50.14%
EPS Next 2Y-11.93%
EPS Next 3Y-2.93%
EPS Next 5Y6.22%
Revenue Next Year-4.88%
Revenue Next 2Y1.48%
Revenue Next 3Y3.59%
Revenue Next 5Y4.11%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
LPX is valuated rather expensively with a Price/Earnings ratio of 20.66.
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.
The average S&P500 Price/Earnings ratio is at 25.89. LPX is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 16.56, LPX is valued correctly.
LPX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LPX is cheaper than 77.78% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. LPX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.66 | ||
| Fwd PE | 16.56 |
4.2 Price Multiples
LPX's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. LPX is more expensive than 66.67% of the companies in the same industry.
LPX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.89 | ||
| EV/EBITDA | 9.53 |
4.3 Compensation for Growth
The excellent profitability rating of LPX may justify a higher PE ratio.
A cheap valuation may be justified as LPX's earnings are expected to decrease with -2.93% in the coming years.
PEG (NY)N/A
PEG (5Y)0.28
EPS Next 2Y-11.93%
EPS Next 3Y-2.93%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.48%, LPX has a reasonable but not impressive dividend return.
The stock price of LPX dropped by -24.22% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 5.82, LPX has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.36, LPX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of LPX is nicely growing with an annual growth rate of 14.80%!
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)14.8%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
LPX pays out 25.59% of its income as dividend. This is a sustainable payout ratio.
The dividend of LPX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP25.59%
EPS Next 2Y-11.93%
EPS Next 3Y-2.93%
75.41
-0.46 (-0.61%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners87.65%
Inst Owner Change-4.91%
Ins Owners1.45%
Ins Owner Change0.45%
Market Cap5.25B
Revenue(TTM)2.94B
Net Income(TTM)297.00M
Analysts72
Price Target111.38 (47.7%)
Short Float %5.87%
Short Ratio4.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Yearly Dividend1.04
Dividend Growth(5Y)14.8%
DP25.59%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0%
Min EPS beat(2)-6.47%
Max EPS beat(2)6.47%
EPS beat(4)3
Avg EPS beat(4)14.03%
Min EPS beat(4)-6.47%
Max EPS beat(4)37.28%
EPS beat(8)7
Avg EPS beat(8)16.42%
EPS beat(12)10
Avg EPS beat(12)57.15%
EPS beat(16)13
Avg EPS beat(16)44.41%
Revenue beat(2)2
Avg Revenue beat(2)1.15%
Min Revenue beat(2)1.06%
Max Revenue beat(2)1.24%
Revenue beat(4)4
Avg Revenue beat(4)2.01%
Min Revenue beat(4)1.03%
Max Revenue beat(4)4.72%
Revenue beat(8)7
Avg Revenue beat(8)2.18%
Revenue beat(12)9
Avg Revenue beat(12)0.23%
Revenue beat(16)9
Avg Revenue beat(16)-2.15%
PT rev (1m)3.02%
PT rev (3m)2.37%
EPS NQ rev (1m)-6.91%
EPS NQ rev (3m)-59.86%
EPS NY rev (1m)-5.04%
EPS NY rev (3m)-34.22%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)-8.03%
Revenue NY rev (1m)-0.39%
Revenue NY rev (3m)-3.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.66 | ||
| Fwd PE | 16.56 | ||
| P/S | 1.82 | ||
| P/FCF | 18.89 | ||
| P/OCF | 10.18 | ||
| P/B | 3.01 | ||
| P/tB | 3.1 | ||
| EV/EBITDA | 9.53 |
EPS(TTM)3.65
EY4.84%
EPS(NY)4.55
Fwd EY6.04%
FCF(TTM)3.99
FCFY5.29%
OCF(TTM)7.41
OCFY9.83%
SpS41.37
BVpS25.01
TBVpS24.3
PEG (NY)N/A
PEG (5Y)0.28
Graham Number45.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.18% | ||
| ROE | 17.05% | ||
| ROCE | 18.03% | ||
| ROIC | 13.03% | ||
| ROICexc | 15.19% | ||
| ROICexgc | 15.58% | ||
| OM | 14.65% | ||
| PM (TTM) | 10.31% | ||
| GM | 25.3% | ||
| FCFM | 9.65% |
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-Score5
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | 0.63 | ||
| Cap/Depr | 177.61% | ||
| Cap/Sales | 8.26% | ||
| Interest Coverage | 30.14 | ||
| Cash Conversion | 92.81% | ||
| Profit Quality | 93.6% | ||
| Current Ratio | 2.84 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 6.21 |
F-Score5
WACC8.39%
ROIC/WACC1.55
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-50.14%
EPS Next 2Y-11.93%
EPS Next 3Y-2.93%
EPS Next 5Y6.22%
Revenue 1Y (TTM)13.95%
Revenue growth 3Y-9.1%
Revenue growth 5Y4.95%
Sales Q2Q%-8.17%
Revenue Next Year-4.88%
Revenue Next 2Y1.48%
Revenue Next 3Y3.59%
Revenue Next 5Y4.11%
EBIT growth 1Y-28.84%
EBIT growth 3Y-32.35%
EBIT growth 5Y51.74%
EBIT Next Year-16.98%
EBIT Next 3Y8.84%
EBIT Next 5Y11.54%
FCF growth 1Y240.4%
FCF growth 3Y-30.01%
FCF growth 5YN/A
OCF growth 1Y150.49%
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 7 / 10 to LPX.
What is the valuation status of LOUISIANA-PACIFIC CORP (LPX) stock?
ChartMill assigns a valuation rating of 4 / 10 to LOUISIANA-PACIFIC CORP (LPX). This can be considered as Fairly Valued.
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 25.59%.