WEST FRASER TIMBER CO LTD (WFG.CA) Stock Fundamental Analysis
Canada - TSX:WFG - CA9528451052 - Common Stock
84.55 CAD
+0.57 (+0.68%)
Overall WFG gets a fundamental rating of 4 out of 10. We evaluated WFG against 12 industry peers in the Paper & Forest Products industry. The financial health of WFG is average, but there are quite some concerns on its 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.
In the past year WFG had a positive cash flow from operations.
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 (-2.89%) which is in line with its industry peers.
The Return On Equity of WFG (-3.74%) is better than 66.67% of 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
In the last couple of years the Operating Margin of WFG has declined.
WFG has a better Gross Margin (25.57%) than 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.
WFG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for WFG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.87 indicates that WFG is not a great score, but indicates only limited risk for bankruptcy at the moment.
WFG has a Altman-Z score of 2.87. This is amongst the best in the industry. WFG outperforms 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's Debt to FCF ratio of 26.92 is in line compared to the rest of the industry. WFG outperforms 58.33% of its industry peers.
A Debt/Equity ratio of 0.05 indicates that WFG is not too dependend on debt financing.
WFG has a better Debt to Equity ratio (0.05) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 26.92 | ||
| Altman-Z | 2.87 |
ROIC/WACCN/A
WACC7.72%
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 Current ratio (2.39) which is comparable to the rest of the industry.
A Quick Ratio of 1.32 indicates that WFG should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.32, WFG belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
| 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 118.50% yearly.
The Revenue is expected to grow by 2.70% on average over the next years.
EPS Next Y-1856.41%
EPS Next 2Y84.97%
EPS Next 3Y253.71%
EPS Next 5Y118.5%
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.
WFG is valuated quite expensively with a Price/Forward Earnings ratio of 235.96.
WFG's Price/Forward Earnings is on the same level as the industry average.
WFG is valuated expensively when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 235.96 |
4.2 Price Multiples
WFG's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as WFG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 395.89 | ||
| EV/EBITDA | 15.61 |
4.3 Compensation for Growth
A more expensive valuation may be justified as WFG's earnings are expected to grow with 253.71% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y84.97%
EPS Next 3Y253.71%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.15%, WFG has a reasonable but not impressive dividend return.
WFG's Dividend Yield is a higher than the industry average which is at 6.32.
WFG's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.15% |
5.2 History
The dividend of WFG is nicely growing with an annual growth rate of 15.82%!
WFG has paid a dividend for at least 10 years, which is a reliable track record.
WFG has not decreased their dividend for at least 10 years, which is a reliable track record.
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.
WFG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-41.13%
EPS Next 2Y84.97%
EPS Next 3Y253.71%
TSX:WFG (11/14/2025, 7:00:00 PM)
84.55
+0.57 (+0.68%)
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 Cap6.65B
Revenue(TTM)5.70B
Net Income(TTM)-248.00M
Analysts80
Price Target95.8 (13.31%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.15% |
Yearly Dividend1.76
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)-2.48%
PT rev (3m)-3.84%
EPS NQ rev (1m)-379.65%
EPS NQ rev (3m)-3111.11%
EPS NY rev (1m)-380.92%
EPS NY rev (3m)-184.32%
Revenue NQ rev (1m)-6.84%
Revenue NQ rev (3m)-13.99%
Revenue NY rev (1m)-4.86%
Revenue NY rev (3m)-7.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 235.96 | ||
| P/S | 0.83 | ||
| P/FCF | 395.89 | ||
| P/OCF | 10.77 | ||
| P/B | 0.72 | ||
| P/tB | 1.15 | ||
| EV/EBITDA | 15.61 |
EPS(TTM)-4.65
EYN/A
EPS(NY)0.36
Fwd EY0.42%
FCF(TTM)0.21
FCFY0.25%
OCF(TTM)7.85
OCFY9.28%
SpS101.5
BVpS117.87
TBVpS73.56
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 | 2.87 |
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-1856.41%
EPS Next 2Y84.97%
EPS Next 3Y253.71%
EPS Next 5Y118.5%
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 Year410.48%
EBIT Next 3Y135.05%
EBIT Next 5Y73.79%
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.