WEST FRASER TIMBER CO LTD (WFG.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:WFG - CA9528451052 - Common Stock
82.9 CAD
+0.29 (+0.35%)
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. WFG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WFG does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year WFG has reported negative net income.
WFG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: WFG reported negative net income in multiple years.
WFG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
WFG's Return On Assets of -2.89% is in line compared to the rest of the industry. WFG outperforms 41.67% of its industry peers.
WFG has a Return On Equity (-3.74%) which is comparable to the rest of the 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.
The Gross Margin of WFG (25.57%) is better 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.
WFG has a better debt/assets ratio than last year.
2.2 Solvency
WFG has an Altman-Z score of 2.88. This is not the best score and indicates that WFG is in the grey zone with still only limited risk for bankruptcy at the moment.
WFG has a better Altman-Z score (2.88) than 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.
The Debt to FCF ratio of WFG (26.92) is better than 75.00% 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.
Looking at the Debt to Equity ratio, with a value of 0.05, WFG belongs to the top 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 | 2.88 |
ROIC/WACCN/A
WACC7.67%
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.
Looking at the Current ratio, with a value of 2.39, WFG is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
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.
With a decent Quick ratio value of 1.32, WFG is doing good in the industry, outperforming 75.00% of the companies in the same industry.
| 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%.
The Revenue has decreased by -9.23% in the past 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
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.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for WFG. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WFG.
WFG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 395.42 | ||
| EV/EBITDA | 15.7 |
4.3 Compensation for Growth
WFG's earnings are expected to grow with 219.30% in the coming years. This may justify a more expensive valuation.
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 2.23%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.57, WFG pays a bit more dividend than its industry peers.
WFG's Dividend Yield is comparable with the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
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
The earnings of WFG are negative and hence is the payout ratio. WFG will probably not be able to sustain this dividend level.
WFG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-41.13%
EPS Next 2Y-77.79%
EPS Next 3Y219.3%
TSX:WFG (12/29/2025, 7:00:00 PM)
82.9
+0.29 (+0.35%)
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 Cap6.50B
Revenue(TTM)5.70B
Net Income(TTM)-248.00M
Analysts80
Price Target93.49 (12.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
Yearly Dividend1.71
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)-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)-5.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3111.11%
EPS NY rev (1m)-27.44%
EPS NY rev (3m)-512.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.91%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.83 | ||
| P/FCF | 395.42 | ||
| P/OCF | 10.76 | ||
| P/B | 0.72 | ||
| P/tB | 1.15 | ||
| EV/EBITDA | 15.7 |
EPS(TTM)-4.54
EYN/A
EPS(NY)-0.78
Fwd EYN/A
FCF(TTM)0.21
FCFY0.25%
OCF(TTM)7.7
OCFY9.29%
SpS99.64
BVpS115.71
TBVpS72.21
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 | 2.88 |
F-Score4
WACC7.67%
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 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.