LOUISIANA-PACIFIC CORP (LPX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LPX - US5463471053 - Common Stock
92.05 USD
+7.57 (+8.96%)
92.02 USD
-0.03 (-0.03%)
LPX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 9 industry peers in the Paper & Forest Products industry. LPX gets an excellent profitability rating and is at the same time showing great financial health properties. LPX has a expensive valuation and it also scores bad on growth.
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.
Each year in the past 5 years LPX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of LPX (8.15%) is better than 88.89% of its industry peers.
LPX has a Return On Equity of 12.42%. This is in the better half of the industry: LPX outperforms 66.67% of its industry peers.
With an excellent Return On Invested Capital value of 10.37%, LPX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
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
LPX has a better Profit Margin (7.65%) than 77.78% of its industry peers.
In the last couple of years the Profit Margin of LPX has declined.
LPX has a Operating Margin of 11.98%. This is amongst the best in 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's Gross Margin of 23.60% is fine compared to the rest of the industry. LPX outperforms 66.67% of its industry peers.
LPX's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LPX is creating value.
The number of shares outstanding for LPX has been reduced compared to 1 year ago.
The number of shares outstanding for LPX has been reduced compared to 5 years ago.
Compared to 1 year ago, LPX has an improved debt to assets ratio.
2.2 Solvency
LPX has an Altman-Z score of 6.84. This indicates that LPX is financially healthy and has little risk of bankruptcy at the moment.
LPX has a Altman-Z score of 6.84. This is amongst the best in 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.
The Debt to FCF ratio of LPX (2.43) is better than 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.
With a decent Debt to Equity ratio value of 0.20, LPX is doing good in the industry, outperforming 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 6.84 |
ROIC/WACC1.22
WACC8.52%
2.3 Liquidity
A Current Ratio of 2.93 indicates that LPX has no problem at all paying its short term obligations.
LPX's Current ratio of 2.93 is fine compared to the rest of the industry. LPX outperforms 77.78% of its industry peers.
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.
LPX has a better Quick ratio (1.72) than 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.93 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The earnings per share for LPX have decreased strongly by -34.23% in the last year.
LPX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 73.82% yearly.
Looking at the last year, LPX shows a decrease in Revenue. The Revenue has decreased by -3.29% in the last year.
Measured over the past years, LPX shows a small growth in Revenue. The Revenue has been growing by 4.95% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
LPX is valuated quite expensively with a Price/Earnings ratio of 25.22.
Based on the Price/Earnings ratio, LPX is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of LPX to the average of the S&P500 Index (27.19), we can say LPX is valued inline with the index average.
The Price/Forward Earnings ratio is 23.75, which indicates a rather expensive current valuation of LPX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LPX indicates a somewhat cheap valuation: LPX is cheaper than 77.78% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.92. LPX is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.22 | ||
| Fwd PE | 23.75 |
4.2 Price Multiples
LPX's Enterprise Value to EBITDA ratio is in line with the industry average.
LPX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.83 | ||
| EV/EBITDA | 13.51 |
4.3 Compensation for Growth
LPX has an outstanding profitability rating, which may justify a higher PE ratio.
LPX's earnings are expected to decrease with -3.26% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.34
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
5. Dividend
5.1 Amount
LPX has a Yearly Dividend Yield of 1.33%.
Compared to an average industry Dividend Yield of 2.64, LPX has a dividend in line with its industry peers.
LPX's Dividend Yield is slightly below the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.33% |
5.2 History
The dividend of LPX is nicely growing with an annual growth rate of 14.78%!
LPX has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of LPX decreased 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.
The dividend of LPX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP35.19%
EPS Next 2Y-18.75%
EPS Next 3Y-3.26%
92.05
+7.57 (+8.96%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners91.85%
Inst Owner Change-0.1%
Ins Owners0.67%
Ins Owner Change-1.9%
Market Cap6.41B
Revenue(TTM)2.82B
Net Income(TTM)216.00M
Analysts72.5
Price Target103.76 (12.72%)
Short Float %7.54%
Short Ratio5.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.33% |
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 | 25.22 | ||
| Fwd PE | 23.75 | ||
| P/S | 2.27 | ||
| P/FCF | 44.83 | ||
| P/OCF | 15.23 | ||
| P/B | 3.69 | ||
| P/tB | 3.79 | ||
| EV/EBITDA | 13.51 |
EPS(TTM)3.65
EY3.97%
EPS(NY)3.88
Fwd EY4.21%
FCF(TTM)2.05
FCFY2.23%
OCF(TTM)6.05
OCFY6.57%
SpS40.52
BVpS24.97
TBVpS24.27
PEG (NY)N/A
PEG (5Y)0.34
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 | 6.84 |
F-Score6
WACC8.52%
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 25.22 and the Price/Book (PB) ratio is 3.69.
Is the dividend of LOUISIANA-PACIFIC CORP sustainable?
The dividend rating of LOUISIANA-PACIFIC CORP (LPX) is 5 / 10 and the dividend payout ratio is 35.19%.