WEST FRASER TIMBER CO LTD (WFG.CA) Stock Fundamental Analysis
Canada - TSX:WFG - CA9528451052 - Common Stock
82.72 CAD
+1.05 (+1.29%)
WFG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 12 industry peers in the Paper & Forest Products industry. WFG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WFG has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
WFG had negative earnings in the past year.
WFG had a positive operating cash flow in the past year.
In multiple years WFG reported negative net income over the last 5 years.
WFG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WFG has a Return On Assets of -2.89%. This is comparable to the rest of the industry: WFG outperforms 58.33% of its industry peers.
With a decent Return On Equity value of -3.74%, WFG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.89% | ||
| ROE | -3.74% | ||
| ROIC | N/A |
ROA(3y)5.99%
ROA(5y)12.01%
ROE(3y)7.85%
ROE(5y)17.08%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Operating Margin of WFG has declined.
Looking at the Gross Margin, with a value of 25.57%, WFG belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
WFG's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for WFG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 25.57% |
OM growth 3Y-63.89%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-18.87%
GM growth 5Y3.49%
2. Health
2.1 Basic Checks
WFG does not have a ROIC to compare to the WACC, probably because it is not profitable.
WFG has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, WFG has more shares outstanding
The debt/assets ratio for WFG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.86 indicates that WFG is not a great score, but indicates only limited risk for bankruptcy at the moment.
WFG has a better Altman-Z score (2.86) than 91.67% of its industry peers.
The Debt to FCF ratio of WFG is 26.92, which is on the high side as it means it would take WFG, 26.92 years of fcf income to pay off all of its debts.
WFG has a Debt to FCF ratio of 26.92. This is comparable to the rest of the industry: WFG outperforms 58.33% of its industry peers.
WFG has a Debt/Equity ratio of 0.05. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of WFG (0.05) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 26.92 | ||
| Altman-Z | 2.86 |
ROIC/WACCN/A
WACC7.72%
2.3 Liquidity
A Current Ratio of 2.39 indicates that WFG has no problem at all paying its short term obligations.
WFG's Current ratio of 2.39 is in line compared to the rest of the industry. WFG outperforms 58.33% of its industry peers.
WFG has a Quick Ratio of 1.32. This is a normal value and indicates that WFG is financially healthy and should not expect problems in meeting its short term obligations.
WFG has a Quick ratio of 1.32. This is amongst the best in the industry. WFG outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.39 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
WFG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -167.74%.
Looking at the last year, WFG shows a decrease in Revenue. The Revenue has decreased by -9.23% in the last year.
WFG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.92% yearly.
EPS 1Y (TTM)-167.74%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-155.34%
Revenue 1Y (TTM)-9.23%
Revenue growth 3Y-16.27%
Revenue growth 5Y10.92%
Sales Q2Q%-9.05%
3.2 Future
The Earnings Per Share is expected to grow by 125.48% on average over the next years. This is a very strong growth
WFG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.18% yearly.
EPS Next Y-306.81%
EPS Next 2Y340.87%
EPS Next 3Y257.77%
EPS Next 5Y125.48%
Revenue Next Year-6.12%
Revenue Next 2Y1.57%
Revenue Next 3Y3.08%
Revenue Next 5Y3.18%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for WFG. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 18.70, which indicates a rather expensive current valuation of WFG.
WFG's Price/Forward Earnings ratio is in line with the industry average.
WFG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 32.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WFG is on the same level as its industry peers.
WFG's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 384.93 | ||
| EV/EBITDA | 15.41 |
4.3 Compensation for Growth
WFG's earnings are expected to grow with 257.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y340.87%
EPS Next 3Y257.77%
5. Dividend
5.1 Amount
WFG has a Yearly Dividend Yield of 2.14%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.36, WFG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, WFG has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
5.2 History
The dividend of WFG is nicely growing with an annual growth rate of 15.82%!
WFG has been paying a dividend for at least 10 years, so it has a reliable track record.
WFG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.82%
Div Incr Years4
Div Non Decr Years14
5.3 Sustainability
The earnings of WFG are negative and hence is the payout ratio. WFG will probably not be able to sustain this dividend level.
The dividend of WFG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-41.13%
EPS Next 2Y340.87%
EPS Next 3Y257.77%
TSX:WFG (11/7/2025, 7:00:00 PM)
82.72
+1.05 (+1.29%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners51.45%
Inst Owner ChangeN/A
Ins Owners0.95%
Ins Owner ChangeN/A
Market Cap6.51B
Revenue(TTM)5.70B
Net Income(TTM)-248.00M
Analysts80
Price Target95.8 (15.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
Yearly Dividend1.75
Dividend Growth(5Y)15.82%
DP-41.13%
Div Incr Years4
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-132.44%
Min EPS beat(2)-146.07%
Max EPS beat(2)-118.82%
EPS beat(4)0
Avg EPS beat(4)-445.1%
Min EPS beat(4)-1486.14%
Max EPS beat(4)-29.39%
EPS beat(8)1
Avg EPS beat(8)-259.45%
EPS beat(12)2
Avg EPS beat(12)-260.16%
EPS beat(16)5
Avg EPS beat(16)-191.85%
Revenue beat(2)0
Avg Revenue beat(2)-5.59%
Min Revenue beat(2)-6.51%
Max Revenue beat(2)-4.67%
Revenue beat(4)0
Avg Revenue beat(4)-4.79%
Min Revenue beat(4)-6.51%
Max Revenue beat(4)-1.75%
Revenue beat(8)4
Avg Revenue beat(8)0.15%
Revenue beat(12)4
Avg Revenue beat(12)-1.23%
Revenue beat(16)7
Avg Revenue beat(16)-0.04%
PT rev (1m)-3.31%
PT rev (3m)-6.31%
EPS NQ rev (1m)-214.16%
EPS NQ rev (3m)-2072.22%
EPS NY rev (1m)0%
EPS NY rev (3m)-117.53%
Revenue NQ rev (1m)-4.61%
Revenue NQ rev (3m)-11.93%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.7 | ||
| P/S | 0.81 | ||
| P/FCF | 384.93 | ||
| P/OCF | 10.47 | ||
| P/B | 0.7 | ||
| P/tB | 1.12 | ||
| EV/EBITDA | 15.41 |
EPS(TTM)-4.68
EYN/A
EPS(NY)4.42
Fwd EY5.35%
FCF(TTM)0.21
FCFY0.26%
OCF(TTM)7.9
OCFY9.55%
SpS102.13
BVpS118.6
TBVpS74.01
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.89% | ||
| ROE | -3.74% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 25.57% | ||
| FCFM | 0.21% |
ROA(3y)5.99%
ROA(5y)12.01%
ROE(3y)7.85%
ROE(5y)17.08%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-63.89%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-18.87%
GM growth 5Y3.49%
F-Score4
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 26.92 | ||
| Debt/EBITDA | 1.12 | ||
| Cap/Depr | 79.74% | ||
| Cap/Sales | 7.52% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 153.13% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.39 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 2.86 |
F-Score4
WACC7.72%
ROIC/WACCN/A
Cap/Depr(3y)85.95%
Cap/Depr(5y)91.03%
Cap/Sales(3y)6.73%
Cap/Sales(5y)6.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-167.74%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-155.34%
EPS Next Y-306.81%
EPS Next 2Y340.87%
EPS Next 3Y257.77%
EPS Next 5Y125.48%
Revenue 1Y (TTM)-9.23%
Revenue growth 3Y-16.27%
Revenue growth 5Y10.92%
Sales Q2Q%-9.05%
Revenue Next Year-6.12%
Revenue Next 2Y1.57%
Revenue Next 3Y3.08%
Revenue Next 5Y3.18%
EBIT growth 1Y-580.77%
EBIT growth 3Y-69.77%
EBIT growth 5YN/A
EBIT Next Year410.48%
EBIT Next 3Y135.05%
EBIT Next 5Y77.64%
FCF growth 1Y-88.78%
FCF growth 3Y-60.93%
FCF growth 5YN/A
OCF growth 1Y-23.44%
OCF growth 3Y-42.91%
OCF growth 5Y50.12%
WEST FRASER TIMBER CO LTD / WFG.CA FAQ
What is the ChartMill fundamental rating of WEST FRASER TIMBER CO LTD (WFG.CA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to WFG.CA.
What is the valuation status for WFG stock?
ChartMill assigns a valuation rating of 2 / 10 to WEST FRASER TIMBER CO LTD (WFG.CA). This can be considered as Overvalued.
Can you provide the profitability details for WEST FRASER TIMBER CO LTD?
WEST FRASER TIMBER CO LTD (WFG.CA) has a profitability rating of 3 / 10.
What is the financial health of WEST FRASER TIMBER CO LTD (WFG.CA) stock?
The financial health rating of WEST FRASER TIMBER CO LTD (WFG.CA) is 6 / 10.