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IFP

Interfor TSX:IFP Stock Report

Last Price

CA$25.49

Market Cap

CA$1.3b

7D

-1.7%

1Y

-14.1%

Updated

24 Jun, 2022

Data

Company Financials +
IFP fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance6/6
Financial Health6/6
Dividends0/6

IFP Stock Overview

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

Rewards

Trading at 63.5% below our estimate of its fair value

Earnings grew by 76.7% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 58.9% per year for the next 3 years


Interfor Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Interfor
Historical stock prices
Current Share PriceCA$25.49
52 Week HighCA$44.56
52 Week LowCA$23.30
Beta2.37
1 Month Change-19.08%
3 Month Change-29.92%
1 Year Change-14.06%
3 Year Change82.86%
5 Year Change37.19%
Change since IPO250.06%

Recent News & Updates

Apr 25
Is Interfor (TSE:IFP) Using Too Much Debt?

Is Interfor (TSE:IFP) Using Too Much Debt?

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

IFPCA ForestryCA Market
7D-1.7%-2.6%0.3%
1Y-14.1%-10.6%-4.1%

Return vs Industry: IFP matched the Canadian Forestry industry which returned -14% over the past year.

Return vs Market: IFP underperformed the Canadian Market which returned -5.7% over the past year.

Price Volatility

Is IFP's price volatile compared to industry and market?
IFP volatility
IFP Average Weekly Movement7.7%
Forestry Industry Average Movement6.3%
Market Average Movement9.9%
10% most volatile stocks in CA Market17.2%
10% least volatile stocks in CA Market4.3%

Stable Share Price: IFP is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: IFP's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19633,488Ian Fillingerhttps://www.interfor.com

Interfor Corporation, together with its subsidiaries, produces and sells wood products in Canada, the United States, Japan, China, Taiwan, and internationally. The company offers lumber products for decking, fascia and trims, framings, furniture, industrial packaging, Japan Zairai, millworks, paneling, sidings, trusses, and windows and doors. It also provides logs, wood chips, and other residuals.

Interfor Fundamentals Summary

How do Interfor's earnings and revenue compare to its market cap?
IFP fundamental statistics
Market CapCA$1.33b
Earnings (TTM)CA$951.56m
Revenue (TTM)CA$3.79b

1.5x

P/E Ratio

0.4x

P/S Ratio

Is IFP overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
IFP income statement (TTM)
RevenueCA$3.79b
Cost of RevenueCA$2.25b
Gross ProfitCA$1.54b
Other ExpensesCA$591.36m
EarningsCA$951.56m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 04, 2022

Earnings per share (EPS)17.37
Gross Margin40.72%
Net Profit Margin25.11%
Debt/Equity Ratio22.2%

How did IFP perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is IFP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IFP?

Other financial metrics that can be useful for relative valuation.

IFP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.5x
Enterprise Value/EBITDA1.2x
PEG Ratio-0.02x

Price to Earnings Ratio vs Peers

How does IFP's PE Ratio compare to its peers?

IFP PE Ratio vs Peers
The above table shows the PE ratio for IFP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average3.9x

Price-To-Earnings vs Peers: IFP is good value based on its Price-To-Earnings Ratio (1.5x) compared to the peer average (3.9x).

Price to Earnings Ratio vs Industry

How does IFP's PE Ratio compare vs other companies in the Global Forestry Industry?

Price-To-Earnings vs Industry: IFP is good value based on its Price-To-Earnings Ratio (1.5x) compared to the Canadian Forestry industry average (3.2x)

Price to Earnings Ratio vs Fair Ratio

What is IFP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IFP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio1.5x
Fair PE Ratio2.5x

Price-To-Earnings vs Fair Ratio: IFP is good value based on its Price-To-Earnings Ratio (1.5x) compared to the estimated Fair Price-To-Earnings Ratio (2.5x).

Share Price vs Fair Value

What is the Fair Price of IFP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IFP (CA$25.49) is trading below our estimate of fair value (CA$69.78)

Significantly Below Fair Value: IFP is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: IFP's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

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Future Growth

How is Interfor forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE

-58.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: IFP's earnings are forecast to decline over the next 3 years (-58.9% per year).

Earnings vs Market: IFP's earnings are forecast to decline over the next 3 years (-58.9% per year).

High Growth Earnings: IFP's earnings are forecast to decline over the next 3 years.

Revenue vs Market: IFP's revenue is expected to decline over the next 3 years (-8.5% per year).

High Growth Revenue: IFP's revenue is forecast to decline over the next 3 years (-8.5% 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

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Past Performance

How has Interfor performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE

55.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IFP has high quality earnings.

Growing Profit Margin: IFP's current net profit margins (25.1%) are higher than last year (21.1%).

Past Earnings Growth Analysis

Earnings Trend: IFP's earnings have grown significantly by 55.8% per year over the past 5 years.

Accelerating Growth: IFP's earnings growth over the past year (76.7%) exceeds its 5-year average (55.8% per year).

Earnings vs Industry: IFP earnings growth over the past year (76.7%) exceeded the Forestry industry 74.5%.

Return on Equity

High ROE: IFP's Return on Equity (52.4%) is considered outstanding.

Discover strong past performing companies

Financial Health

How is Interfor's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: IFP's short term assets (CA$935.1M) exceed its short term liabilities (CA$472.7M).

Long Term Liabilities: IFP's short term assets (CA$935.1M) exceed its long term liabilities (CA$791.3M).

Debt to Equity History and Analysis

Debt Level: IFP's net debt to equity ratio (18.7%) is considered satisfactory.

Reducing Debt: IFP's debt to equity ratio has reduced from 40.3% to 22.2% over the past 5 years.

Debt Coverage: IFP's debt is well covered by operating cash flow (260.1%).

Interest Coverage: IFP's interest payments on its debt are well covered by EBIT (75.8x coverage).

Balance Sheet

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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

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 recent payouts.

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

Earnings Payout to Shareholders

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

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as IFP has not reported any payouts.

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Management

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

1.8yrs

Average management tenure

CEO

Ian Fillinger (52 yo)

2.42yrs

Tenure

CA$4,178,880

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 ($USD3.24M) is above average for companies of similar size in the Canadian market ($USD1.59M).

Compensation vs Earnings: Ian's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: IFP's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.

Board Members

Experienced Board: IFP's board of directors are considered experienced (6 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 employee growth, exchange listings and data sources

Key Information

  • Name: Interfor Corporation
  • Ticker: IFP
  • Exchange: TSX
  • Founded: 1963
  • Industry: Forest Products
  • Sector: Materials
  • Implied Market Cap: CA$1.326b
  • Shares outstanding: 54.79m
  • Website: https://www.interfor.com

Number of Employees

Location

  • Interfor Corporation
  • Metrotower II
  • Suite 1600
  • Burnaby
  • British Columbia
  • V5H 4N2
  • Canada

Listings

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.