TSX:CFX

Stock Analysis Report

Canfor Pulp Products

Executive Summary

Canfor Pulp Products Inc., together with its subsidiaries, produces and supplies pulp and paper products in North America, Europe, Asia, and internationally.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has Canfor Pulp Products's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

8.5%

TSX:CFX

6.5%

CA Forestry

1.3%

CA Market


1 Year Return

-65.4%

TSX:CFX

-38.6%

CA Forestry

-0.3%

CA Market

CFX underperformed the Forestry industry which returned -38.6% over the past year.

CFX underperformed the Market in Canada which returned -0.1% over the past year.


Share holder returns

CFXIndustryMarket
7 Day8.5%6.5%1.3%
30 Day2.4%4.2%3.4%
90 Day-16.8%-5.4%1.1%
1 Year-60.9%-65.4%-36.8%-38.6%3.2%-0.3%
3 Year7.7%-8.0%6.4%-0.8%19.1%8.4%
5 Year18.2%-11.1%-1.7%-9.2%19.5%2.3%

Price Volatility Vs. Market

How volatile is Canfor Pulp Products's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Canfor Pulp Products undervalued based on future cash flows and its price relative to the stock market?

7.95x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Canfor Pulp Products's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Canfor Pulp Products's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Canfor Pulp Products is good value based on earnings compared to the CA Forestry industry average.

Canfor Pulp Products is good value based on earnings compared to the Canada market.


Price Based on Expected Growth

Canfor Pulp Products is good value based on expected growth next year.


Price Based on Value of Assets

Canfor Pulp Products is good value based on assets compared to the CA Forestry industry average.


Next Steps

Future Growth

How is Canfor Pulp Products expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

13.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Canfor Pulp Products's revenue is expected to grow by 13.4% yearly, however this is not considered high growth (20% yearly).

Canfor Pulp Products's earnings are expected to grow by 13.8% yearly, however this is not considered high growth (20% yearly).

Canfor Pulp Products's revenue growth is expected to exceed the Canada market average.

Canfor Pulp Products's earnings growth is expected to exceed the Canada market average.

Canfor Pulp Products's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Canfor Pulp Products will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Canfor Pulp Products performed over the past 5 years?

13.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Canfor Pulp Products's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Canfor Pulp Products's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Canfor Pulp Products's 1-year earnings growth is negative, it can't be compared to the CA Forestry industry average.


Return on Equity

Canfor Pulp Products has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Canfor Pulp Products used its assets more efficiently than the CA Forestry industry average last year based on Return on Assets.


Return on Capital Employed

Canfor Pulp Products's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Canfor Pulp Products's financial position?


Financial Position Analysis

Canfor Pulp Products is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Canfor Pulp Products's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Canfor Pulp Products has no debt.

Canfor Pulp Products has no debt compared to 5 years ago when it was 10.7%.

Canfor Pulp Products has no debt, it does not need to be covered by operating cash flow.

Canfor Pulp Products has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Canfor Pulp Products has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is Canfor Pulp Products's current dividend yield, its reliability and sustainability?

2.61%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Canfor Pulp Products's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (1.99%).

Canfor Pulp Products's dividend is below the markets top 25% of dividend payers in Canada (5.85%).

Canfor Pulp Products has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Canfor Pulp Products has only been paying a dividend for 8 years, and since then dividends per share have fallen.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.8x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Canfor Pulp Products's salary, the management and board of directors tenure and is there insider trading?

5.4yrs

Average management tenure


CEO

Don Kayne (61yo)

7yrs

Tenure

0

Mr. Donald B. Kayne, also known as Don, has been the Chief Executive Officer of Canfor Pulp Products Inc., since September 30, 2012 and serves as its Director since 2017. Mr. Kayne has been the Chief Execu ...


Management Age and Tenure

5.4yrs

Average Tenure

The average tenure for the Canfor Pulp Products management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

3.4yrs

Average Tenure

64yo

Average Age

The tenure for the Canfor Pulp Products board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyCA$98,12027 Nov 18
Peter J. Bentley
EntityIndividual
Shares5,000
Max PriceCA$19.62
BuyCA$195,26626 Nov 18
Peter J. Bentley
EntityIndividual
Shares10,000
Max PriceCA$19.53

Ownership Breakdown


Management Team

  • David Calabrigo (60yo)

    Senior VP of Corporate Development & Legal Affairs and Corporate Secretary

    • Tenure: 0yrs
  • Don Kayne (61yo)

    CEO & Director

    • Tenure: 7yrs
  • Alan Nicholl

    CFO & Executive VP of Finance

    • Tenure: 7yrs
  • Mark Feldinger

    Senior Vice President of Global Supply Chain

    • Tenure: 1.4yrs
  • Martin Pudlas

    Vice President of Operations & Innovation

    • Tenure: 6.9yrs
    • Compensation: CA$1.28m
  • Stephen MacKie

    • Tenure: 3.8yrs
  • Corinne Stavness

    Senior Director of External Affairs & Communications

    • Tenure: 0yrs
  • Kevin Pankratz

    Senior Vice President of Sales & Marketing

    • Tenure: 0yrs
  • David Trent

    • Tenure: 1.3yrs

Board Members

  • William Stinson (85yo)

    Independent Director

    • Tenure: 7.7yrs
    • Compensation: CA$106.75k
  • Glen Clark (61yo)

    Director

    • Tenure: 10.3yrs
  • Conrad Pinette (79yo)

    Chairman of the Board

    • Tenure: 2.1yrs
    • Compensation: CA$126.00k
  • Barbara Hislop (64yo)

    Director

    • Tenure: 2.4yrs
    • Compensation: CA$122.50k
  • Don Kayne (61yo)

    CEO & Director

    • Tenure: 7yrs
  • Stan Bracken-Horrocks (75yo)

    Independent Director

    • Tenure: 13.7yrs
    • Compensation: CA$127.00k
  • John Baird (49yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: CA$94.25k

Company Information

Canfor Pulp Products Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Canfor Pulp Products Inc.
  • Ticker: CFX
  • Exchange: TSX
  • Founded: 2010
  • Industry: Paper Products
  • Sector: Materials
  • Market Cap: CA$624.285m
  • Shares outstanding: 65.23m
  • Website: https://www.canfor.com

Number of Employees


Location

  • Canfor Pulp Products Inc.
  • 230 - 1700 West 75th Avenue
  • Vancouver
  • British Columbia
  • V6P 6G2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CFXTSX (The Toronto Stock Exchange)YesCommon SharesCACADMar 2011
CFPU.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 2011
8CPDB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2011

Biography

Canfor Pulp Products Inc., together with its subsidiaries, produces and supplies pulp and paper products in North America, Europe, Asia, and internationally. The company operates through two segments, Pulp ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 00:13
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.