TSX:IFP

Stock Analysis Report

Executive Summary

Interfor Corporation, together with its subsidiaries, produces and sells wood products in Canada, the United States, Japan, China, Taiwan, and internationally.

Risk Analysis

Highly volatile share price over past 3 months



Snowflake Analysis

Mediocre balance sheet and overvalued.


Similar Companies

Share Price & News

How has Interfor's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IFP's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.8%

IFP

-4.5%

CA Forestry

3.0%

CA Market


1 Year Return

-63.8%

IFP

-54.8%

CA Forestry

-24.5%

CA Market

Return vs Industry: IFP underperformed the Canadian Forestry industry which returned -54.8% over the past year.

Return vs Market: IFP underperformed the Canadian Market which returned -24.5% over the past year.


Shareholder returns

IFPIndustryMarket
7 Day-0.8%-4.5%3.0%
30 Day-49.3%-43.1%-21.2%
90 Day-56.0%-44.2%-24.4%
1 Year-63.8%-63.8%-53.8%-54.8%-22.0%-24.5%
3 Year-67.2%-67.2%-52.2%-55.7%-13.9%-21.9%
5 Year-65.2%-65.2%-50.5%-54.5%-2.0%-16.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Interfor undervalued compared to its fair value and its price relative to the market?

0.49x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: IFP (CA$6.07) is trading above our estimate of fair value (CA$2.95)

Significantly Below Fair Value: IFP is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IFP is unprofitable, so we can't compare its PE Ratio to the Forestry industry average.

PE vs Market: IFP is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate IFP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IFP is good value based on its PB Ratio (0.5x) compared to the CA Forestry industry average (0.6x).


Next Steps

Future Growth

How is Interfor forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

45.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IFP is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: IFP is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: IFP is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: IFP's revenue is expected to decline over the next 3 years (-0.7% per year).

High Growth Revenue: IFP's revenue is forecast to decline over the next 3 years (-0.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if IFP's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Interfor performed over the past 5 years?

8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IFP is currently unprofitable.

Growing Profit Margin: IFP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IFP is unprofitable, but has reduced losses over the past 5 years at a rate of 8.4% per year.

Accelerating Growth: Unable to compare IFP's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IFP is unprofitable, making it difficult to compare its past year earnings growth to the Forestry industry (4.5%).


Return on Equity

High ROE: IFP has a negative Return on Equity (-12.49%), as it is currently unprofitable.


Next Steps

Financial Health

How is Interfor's financial position?


Financial Position Analysis

Short Term Liabilities: IFP's short term assets (CA$325.5M) exceed its short term liabilities (CA$137.6M).

Long Term Liabilities: IFP's short term assets (CA$325.5M) do not cover its long term liabilities (CA$373.3M).


Debt to Equity History and Analysis

Debt Level: IFP's debt to equity ratio (31.3%) is considered satisfactory.

Reducing Debt: IFP's debt to equity ratio has reduced from 34.9% to 31.3% over the past 5 years.


Balance Sheet

Inventory Level: IFP has a high level of physical assets or inventory.

Debt Coverage by Assets: IFP's debt is covered by short term assets (assets are 1.3x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: IFP has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: IFP has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Interfor's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IFP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate IFP's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IFP's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IFP's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IFP's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Ian Fillinger (50yo)

0.25

Tenure

CA$1,038,371

Compensation

Mr. Ian M. Fillinger has been President, Chief Executive Officer and Director of Interfor Corporation (also known as International Forest Products Ltd) since January 1, 2020. Mr. Fillinger was Chief Operat ...


CEO Compensation Analysis

Compensation vs Market: Ian's total compensation ($USD734.72K) is about average for companies of similar size in the Canadian market ($USD777.11K).

Compensation vs Earnings: Ian's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Ian Fillinger
President0.25yrCA$1.04m0.080% CA$327.0k
Martin Juravsky
Senior VP & CFO2.17yrsCA$1.04m0.082% CA$335.1k
J. Bender
Senior Vice President of Sales & Marketing5yrsCA$893.83k0.046% CA$188.2k
Mark Stock
Senior VP of Human Resources & IT2.17yrsCA$699.67k0.013% CA$52.8k
Duncan Davies
0.25yrCA$2.92mno data
Xenia Kritsos
General Counsel & Corporate Secretary4.58yrsno data0.0089% CA$36.2k
Richard Slaco
VP & Chief Forester18.25yrsno datano data

2.2yrs

Average Tenure

52.5yo

Average Age

Experienced Management: IFP's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ian Fillinger
President0.25yrCA$1.04m0.080% CA$327.0k
Thomas Milroy
Independent Director4.17yrsCA$147.00k0.022% CA$91.0k
Curtis Stevens
Independent Director1.92yrsCA$132.00kno data
J. McMillan
Independent Director13.5yrsCA$133.00kno data
Douglas William Whitehead
Independent Director13yrsCA$126.00k0.025% CA$103.2k
Gordon MacDougall
Independent Director13.17yrsCA$137.00k0.022% CA$91.0k
E. Sauder
Independent Chairman of the Board12.25yrsCA$252.00k0.51% CA$2.1m
Gillian Platt
Independent Director3.5yrsCA$141.00kno data
Jeane Hull
Independent Director5.92yrsCA$141.00kno data
Rhonda Hunter
Independent Director0.92yrCA$93.11kno data

5.0yrs

Average Tenure

65.5yo

Average Age

Experienced Board: IFP's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: IFP insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Interfor Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Interfor Corporation
  • Ticker: IFP
  • Exchange: TSX
  • Founded: 1930
  • Industry: Forest Products
  • Sector: Materials
  • Market Cap: CA$408.268m
  • Shares outstanding: 67.26m
  • Website: https://www.interfor.com

Number of Employees


Location

  • Interfor Corporation
  • 1055 Dunsmuir Street
  • Suite 3500
  • Vancouver
  • British Columbia
  • V7X 1H7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IFPTSX (The Toronto Stock Exchange)YesCommon SharesCACADJan 1976
IFSP.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1976
8IF1DB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1976

Biography

Interfor Corporation, together with its subsidiaries, produces and sells wood products in Canada, the United States, Japan, China, Taiwan, and internationally. The company offers wooden products for appearance timbers, decking, fascia and trims, framings, furniture, industrial packaging, Japan zairai, millworks, paneling, sidings, trusses, and windows and doors. It also provides wood chips. The company was formerly known as International Forest Products Limited and changed its name to Interfor Corporation in May 2014. Interfor Corporation was founded in 1930 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/04 04:58
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.