WEST FRASER TIMBER CO LTD (WFG.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:WFG - CA9528451052 - Common Stock
92.36 CAD
+6.01 (+6.96%)
Taking everything into account, WFG scores 4 out of 10 in our fundamental rating. WFG was compared to 12 industry peers in the Paper & Forest Products industry. No worries on liquidiy or solvency for WFG as it has an excellent financial health rating, but there are worries on the profitability. 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.
Each year in the past 5 years WFG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of WFG (-2.89%) is comparable to the rest of the industry.
WFG has a Return On Equity (-3.74%) which is in line with its industry peers.
| 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
WFG's Operating Margin has declined in the last couple of years.
WFG's Gross Margin of 25.57% is amongst the best of the industry. WFG outperforms 83.33% of its industry peers.
In the last couple of years the Gross Margin of WFG has grown nicely.
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.
The number of shares outstanding for WFG has been reduced compared to 1 year ago.
The number of shares outstanding for WFG has been increased compared to 5 years ago.
WFG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.02 indicates that WFG is not in any danger for bankruptcy at the moment.
WFG has a Altman-Z score of 3.02. This is amongst the best in the industry. WFG outperforms 91.67% of its industry peers.
WFG has a debt to FCF ratio of 26.92. This is a negative value and a sign of low solvency as WFG would need 26.92 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 26.92, WFG is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
WFG has a Debt/Equity ratio of 0.05. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.05, WFG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 26.92 | ||
| Altman-Z | 3.02 |
ROIC/WACCN/A
WACC7.68%
2.3 Liquidity
WFG has a Current Ratio of 2.39. This indicates that WFG is financially healthy and has no problem in meeting its short term obligations.
WFG has a better Current ratio (2.39) than 75.00% of its industry peers.
A Quick Ratio of 1.32 indicates that WFG should not have too much problems paying its short term obligations.
WFG's Quick ratio of 1.32 is fine compared to the rest of the industry. WFG outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.39 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
The earnings per share for WFG have decreased strongly by -167.74% in the last year.
The Revenue has decreased by -9.23% in the past year.
The Revenue has been growing by 10.92% on average over the past years. This is quite good.
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
WFG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 118.65% yearly.
Based on estimates for the next years, WFG will show a small growth in Revenue. The Revenue will grow by 2.70% on average per year.
EPS Next Y-2393.2%
EPS Next 2Y-77.79%
EPS Next 3Y219.3%
EPS Next 5Y118.65%
Revenue Next Year-10.68%
Revenue Next 2Y-1.13%
Revenue Next 3Y2.2%
Revenue Next 5Y2.7%
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.
Also next year WFG is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
WFG's Enterprise Value to EBITDA ratio is in line with the industry average.
WFG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 434.36 | ||
| EV/EBITDA | 17.32 |
4.3 Compensation for Growth
A more expensive valuation may be justified as WFG's earnings are expected to grow with 219.30% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-77.79%
EPS Next 3Y219.3%
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.
WFG's Dividend Yield is a higher than the industry average which is at 2.54.
WFG's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| 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
WFG has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of WFG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-41.13%
EPS Next 2Y-77.79%
EPS Next 3Y219.3%
TSX:WFG (1/9/2026, 7:00:00 PM)
92.36
+6.01 (+6.96%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners57.5%
Inst Owner ChangeN/A
Ins Owners0.96%
Ins Owner ChangeN/A
Market Cap7.24B
Revenue(TTM)5.70B
Net Income(TTM)-248.00M
Analysts77.78
Price Target93.49 (1.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
Yearly Dividend1.73
Dividend Growth(5Y)15.82%
DP-41.13%
Div Incr Years4
Div Non Decr Years14
Ex-DateN/A
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)-183.91%
Min EPS beat(4)-441.37%
Max EPS beat(4)-29.39%
EPS beat(8)2
Avg EPS beat(8)-119.87%
EPS beat(12)3
Avg EPS beat(12)-167.1%
EPS beat(16)6
Avg EPS beat(16)-122.06%
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)-2.41%
PT rev (3m)-4.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-379.65%
EPS NY rev (1m)0%
EPS NY rev (3m)-512.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.84%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.91 | ||
| P/FCF | 434.36 | ||
| P/OCF | 11.82 | ||
| P/B | 0.79 | ||
| P/tB | 1.26 | ||
| EV/EBITDA | 17.32 |
EPS(TTM)-4.61
EYN/A
EPS(NY)-0.79
Fwd EYN/A
FCF(TTM)0.21
FCFY0.23%
OCF(TTM)7.81
OCFY8.46%
SpS101.06
BVpS117.36
TBVpS73.24
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 | 3.02 |
F-Score4
WACC7.68%
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-2393.2%
EPS Next 2Y-77.79%
EPS Next 3Y219.3%
EPS Next 5Y118.65%
Revenue 1Y (TTM)-9.23%
Revenue growth 3Y-16.27%
Revenue growth 5Y10.92%
Sales Q2Q%-9.05%
Revenue Next Year-10.68%
Revenue Next 2Y-1.13%
Revenue Next 3Y2.2%
Revenue Next 5Y2.7%
EBIT growth 1Y-580.77%
EBIT growth 3Y-69.77%
EBIT growth 5YN/A
EBIT Next Year1.13%
EBIT Next 3Y123.2%
EBIT Next 5Y73.84%
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 fundamental rating for WFG stock?
ChartMill assigns a fundamental rating of 4 / 10 to WFG.CA.
Can you provide the valuation status for WEST FRASER TIMBER CO LTD?
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.
Can you provide the expected EPS growth for WFG stock?
The Earnings per Share (EPS) of WEST FRASER TIMBER CO LTD (WFG.CA) is expected to decline by -2393.2% in the next year.
Can you provide the dividend sustainability for WFG stock?
The dividend rating of WEST FRASER TIMBER CO LTD (WFG.CA) is 6 / 10 and the dividend payout ratio is -41.13%.