LOUISIANA-PACIFIC CORP (LPX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LPX - US5463471053 - Common Stock
81.73 USD
+0.97 (+1.2%)
81.73 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 has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 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.
In the past 5 years LPX has always been profitable.
In the past 5 years LPX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of LPX (8.15%) is better than 88.89% of its industry peers.
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.
LPX has a Return On Invested Capital of 10.37%. This is amongst the best in the industry. LPX outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital 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
Looking at the Profit Margin, with a value of 7.65%, LPX is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
LPX's Profit Margin has declined in the last couple of years.
LPX's Operating Margin of 11.98% is amongst the best of the industry. LPX outperforms 88.89% of its industry peers.
In the last couple of years the Operating Margin of LPX has grown nicely.
LPX has a better Gross Margin (23.60%) than 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
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.
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
An Altman-Z score of 6.37 indicates that LPX is not in any danger for bankruptcy at the moment.
LPX's Altman-Z score of 6.37 is amongst the best of the industry. LPX outperforms 100.00% of its industry peers.
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's Debt to Equity ratio of 0.20 is fine compared to the rest 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 | 6.37 |
ROIC/WACC1.22
WACC8.49%
2.3 Liquidity
A Current Ratio of 2.93 indicates that LPX has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.93, LPX is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
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.
The Quick ratio of LPX (1.72) is better than 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%.
Measured over the past years, LPX shows a very strong growth in Earnings Per Share. The EPS has been growing by 73.82% on average per year.
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.
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 22.39, which indicates a rather expensive current valuation of LPX.
Based on the Price/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/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 21.09, 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/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.23. LPX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.39 | ||
| Fwd PE | 21.09 |
4.2 Price Multiples
LPX's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LPX is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.8 | ||
| EV/EBITDA | 12 |
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 -3.26% in the coming years.
PEG (NY)N/A
PEG (5Y)0.3
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.
LPX's Dividend Yield is a higher than the industry average which is at 2.54.
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
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.
LPX has decreased its dividend 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%
81.73
+0.97 (+1.2%)
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 Cap5.69B
Revenue(TTM)2.82B
Net Income(TTM)216.00M
Analysts72
Price Target103.76 (26.95%)
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 | 22.39 | ||
| Fwd PE | 21.09 | ||
| P/S | 2.02 | ||
| P/FCF | 39.8 | ||
| P/OCF | 13.52 | ||
| P/B | 3.27 | ||
| P/tB | 3.37 | ||
| EV/EBITDA | 12 |
EPS(TTM)3.65
EY4.47%
EPS(NY)3.88
Fwd EY4.74%
FCF(TTM)2.05
FCFY2.51%
OCF(TTM)6.05
OCFY7.4%
SpS40.52
BVpS24.97
TBVpS24.27
PEG (NY)N/A
PEG (5Y)0.3
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 | 6.37 |
F-Score6
WACC8.49%
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 22.39 and the Price/Book (PB) ratio is 3.27.
Is the dividend of LOUISIANA-PACIFIC CORP sustainable?
The dividend rating of LOUISIANA-PACIFIC CORP (LPX) is 4 / 10 and the dividend payout ratio is 35.19%.