Louisiana-Pacific Corporation

DB:LP3 Stock Report

Market Cap: €5.0b

Louisiana-Pacific Valuation

Is LP3 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of LP3 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LP3 (€70.08) is trading below our estimate of fair value (€116.28)

Significantly Below Fair Value: LP3 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for LP3?

Other financial metrics that can be useful for relative valuation.

LP3 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/Revenue2.1x
Enterprise Value/EBITDA12x
PEG Ratio2x

Price to Earnings Ratio vs Peers

How does LP3's PE Ratio compare to its peers?

The above table shows the PE ratio for LP3 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.5x
WCH Wacker Chemie
23.3x29.4%€5.0b
FPE3 Fuchs
20.7x8.9%€5.2b
NDA Aurubis
22.8x32.4%€3.2b
DLX Delignit
11.1x16.9%€35.8m
LP3 Louisiana-Pacific
30.3x15.4%€5.4b

Price-To-Earnings vs Peers: LP3 is expensive based on its Price-To-Earnings Ratio (30.3x) compared to the peer average (19.5x).


Price to Earnings Ratio vs Industry

How does LP3's PE Ratio compare vs other companies in the European Forestry Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a23.2%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a23.2%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: LP3 is expensive based on its Price-To-Earnings Ratio (30.3x) compared to the European Forestry industry average (10x).


Price to Earnings Ratio vs Fair Ratio

What is LP3'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.

LP3 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio30.3x
Fair PE Ratio17.5x

Price-To-Earnings vs Fair Ratio: LP3 is expensive based on its Price-To-Earnings Ratio (30.3x) compared to the estimated Fair Price-To-Earnings Ratio (17.5x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst LP3 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€70.08
€75.11
+7.2%
12.4%€84.10€50.46n/a11
Apr ’25€77.70
€71.26
-8.3%
11.9%€78.66€49.97n/a10
Mar ’25€67.90
€70.72
+4.2%
11.5%€78.89€50.12n/a10
Feb ’25€61.60
€69.51
+12.8%
15.3%€91.62€48.13n/a10
Jan ’25€64.50
€63.77
-1.1%
12.2%€72.88€47.37n/a9
Dec ’24€55.80
€64.34
+15.3%
12.6%€73.44€48.96n/a9
Nov ’24€48.35
€65.50
+35.5%
13.1%€73.81€48.26n/a9
Oct ’24€53.00
€66.92
+26.3%
15.1%€80.42€46.61n/a9
Sep ’24€57.60
€66.92
+16.2%
15.1%€80.42€46.61n/a9
Aug ’24€69.10
€68.59
-0.7%
16.5%€82.06€46.50n/a9
Jul ’24€68.10
€62.67
-8.0%
15.3%€75.13€46.73n/a10
Jun ’24€55.00
€59.10
+7.5%
16.6%€74.45€44.49n/a10
May ’24€52.50
€57.20
+9.0%
15.6%€74.81€42.88n/a10
Apr ’24€49.10
€59.24
+20.7%
16.5%€77.73€44.55€77.7010
Mar ’24€56.05
€59.24
+5.7%
16.5%€77.73€44.55€67.9010
Feb ’24€62.26
€60.28
-3.2%
14.1%€75.58€45.16€61.6010
Jan ’24€55.89
€62.22
+11.3%
13.4%€77.07€47.93€64.5010
Dec ’23€60.78
€68.35
+12.5%
13.7%€84.07€52.29€55.809
Nov ’23€57.92
€67.49
+16.5%
14.0%€83.02€51.63€48.359
Oct ’23€51.58
€69.08
+33.9%
14.0%€82.23€53.15€53.009
Sep ’23€53.69
€68.26
+27.1%
12.6%€79.58€51.44€57.609
Aug ’23€61.84
€70.46
+13.9%
11.7%€81.00€56.30€69.109
Jul ’23€49.32
€74.05
+50.2%
16.7%€95.76€54.58€68.109
Jun ’23€64.44
€82.86
+28.6%
6.9%€94.29€74.49€55.008
May ’23€62.81
€78.13
+24.4%
8.7%€92.33€69.25€52.508
Apr ’23€55.00
€78.04
+41.9%
9.5%€95.56€70.08€49.108

Analyst Forecast: Target price is less than 20% higher than the current share price.


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