NYSE:BCC

Stock Analysis Report

Executive Summary

Boise Cascade Company manufactures wood products and distributes building materials in the United States and Canada.

Snowflake

Fundamentals

Moderate growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BCC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.5%

BCC

-2.9%

US Forestry

0.5%

US Market


1 Year Return

39.7%

BCC

2.1%

US Forestry

16.1%

US Market

Return vs Industry: BCC exceeded the US Forestry industry which returned 2.1% over the past year.

Return vs Market: BCC exceeded the US Market which returned 16.1% over the past year.


Shareholder returns

BCCIndustryMarket
7 Day1.5%-2.9%0.5%
30 Day6.3%8.1%3.9%
90 Day28.1%21.7%6.6%
1 Year41.6%39.7%6.0%2.1%18.7%16.1%
3 Year77.2%69.8%14.5%6.1%47.2%37.7%
5 Year11.5%6.8%4.9%-6.9%61.5%43.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.03x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: BCC ($38.13) is trading above our estimate of fair value ($15.33)

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BCC is overvalued based on its PB Ratio (2x) compared to the US Forestry industry average (0.9x).


Next Steps

Future Growth

How is Boise Cascade forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

33.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BCC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

Earnings vs Market: BCC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: BCC's is expected to become profitable in the next 3 years.

Revenue vs Market: BCC's revenue (4.8% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: BCC's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Boise Cascade performed over the past 5 years?

-14.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BCC has large one-off items impacting its financial results.

Growing Profit Margin: BCC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BCC is unprofitable, and losses have increased over the past 5 years at a rate of -14.9% per year.

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

Earnings vs Industry: BCC is unprofitable, making it difficult to compare its past year earnings growth to the Forestry industry (3.7%).


Return on Equity

High ROE: BCC has a negative Return on Equity (-0.82%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Boise Cascade's financial position?


Financial Position Analysis

Short Term Liabilities: BCC's short term assets ($1.1B) exceeds its short term liabilities ($444.8M)

Long Term Liabilities: BCC's short term assets ($1.1B) exceeds its long term liabilities (609.6M)


Debt to Equity History and Analysis

Debt Level: BCC's debt to equity ratio (60.2%) is considered high.

Reducing Debt: BCC's debt to equity ratio has increased from 57.9% to 60.2% over the past 5 years.

Debt Coverage: BCC's debt is well covered by operating cash flow (54.2%).

Interest Coverage: BCC is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet

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

Debt Coverage by Assets: BCC's debt is covered by short term assets (assets are 2.6x debt).


Next Steps

Dividend

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

3.67%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Boise Cascade before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company3.7%marketbottom25%1.4%markettop25%3.7%industryaverage3.3%forecastin3Years1.7%

Current dividend yield vs market & industry

Notable Dividend: BCC's dividend (3.67%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: BCC's dividend (3.67%) is low compared to the top 25% of dividend payers in the US market (3.65%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, BCC has been paying a dividend for less than 10 years.

Growing Dividend: BCC's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: BCC is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: BCC's dividends in 3 years are forecast to be well covered by earnings (16.3% payout ratio).


Next Steps

Management

What is the CEO of Boise Cascade's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Tom Corrick (64yo)

4.7yrs

Tenure

US$3,860,499

Compensation

Mr. Thomas Kevin Corrick, also known as Tom, has been the Chief Executive Officer of Boise Cascade company since March 6, 2015. Mr. Corrick served as the Chief Operating Officer at Boise Cascade Holdings L ...


CEO Compensation Analysis

Compensation vs Market: Tom's total compensation ($USD3.86M) is about average for companies of similar size in the US market ($USD3.85M).

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


Management Age and Tenure

3.8yrs

Average Tenure

57yo

Average Age

Experienced Management: BCC's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

5.3yrs

Average Tenure

65.5yo

Average Age

Experienced Board: BCC's board of directors are considered experienced (5.3 years average tenure).


Insider Trading

Insider Buying: BCC insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$24,56312 Nov 19
Jill Twedt
EntityIndividual
Role
Chief Legal Officer
VP, General Counsel & Corporate Secretary
Shares642
Max PriceUS$38.26
SellUS$491,48412 Nov 19
Nick Stokes
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Building Materials Distribution
Shares13,016
Max PriceUS$37.76
SellUS$275,92112 Nov 19
Wayne Rancourt
EntityIndividual
Role
Chief Financial Officer
Executive VP
Shares7,286
Max PriceUS$37.87
SellUS$95,19212 Nov 19
Dean Brown
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Wood Products Division
Shares2,529
Max PriceUS$37.64
SellUS$571,20012 Nov 19
Thomas Corrick
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares15,000
Max PriceUS$38.08
SellUS$118,04209 Aug 19
Dean Brown
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Wood Products Division
Shares3,947
Max PriceUS$29.91
BuyUS$80,93231 May 19
Kristopher Matula
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,500
Max PriceUS$23.12

Ownership Breakdown

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


Management Team

  • Nick Stokes (62yo)

    Executive Vice President of Building Materials Distribution

    • Tenure: 8.8yrs
    • Compensation: US$1.45m
  • Erin Nuxoll (59yo)

    Senior Vice President of Human Resources

    • Tenure: 0.8yrs
  • Wayne Rancourt (56yo)

    Executive VP

    • Tenure: 10.3yrs
    • Compensation: US$1.60m
  • Tom Corrick (64yo)

    CEO & Director

    • Tenure: 4.7yrs
    • Compensation: US$3.86m
  • Kelly Hibbs (53yo)

    VP & Controller

    • Tenure: 8.8yrs
  • Rich Viola (61yo)

    Senior Vice President of Sales & Marketing - Building Materials Distribution

    • Tenure: 3.8yrs
  • Mike Brown (57yo)

    Executive Vice President of Wood Products Division

    • Tenure: 2yrs
  • Nate Jorgensen (54yo)

    Chief Operating Officer

    • Tenure: 0.8yrs
  • Jill Twedt (39yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 0.8yrs

Board Members

  • Chris McGowan (48yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$175.02k
  • Rick Fleming (72yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$160.02k
  • Mack Hogans (70yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$187.52k
  • Duane McDougall (67yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$160.02k
  • David Hannah (67yo)

    Independent Director

    • Tenure: 5yrs
    • Compensation: US$160.02k
  • Kris Matula (57yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: US$165.21k
  • Tom Carlile (68yo)

    Chairman

    • Tenure: 4.7yrs
    • Compensation: US$274.99k
  • Karen Gowland (60yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$172.99k
  • Steve Cooper (56yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$164.81k
  • Tom Corrick (64yo)

    CEO & Director

    • Tenure: 4.7yrs
    • Compensation: US$3.86m

Company Information

Boise Cascade Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Boise Cascade Company
  • Ticker: BCC
  • Exchange: NYSE
  • Founded: 2004
  • Industry: Forest Products
  • Sector: Materials
  • Market Cap: US$1.486b
  • Shares outstanding: 38.98m
  • Website: https://www.bc.com

Number of Employees


Location

  • Boise Cascade Company
  • 1111 West Jefferson Street
  • Suite 300
  • Boise
  • Idaho
  • 83702
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BCCNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 2013
BC0DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2013

Biography

Boise Cascade Company manufactures wood products and distributes building materials in the United States and Canada. It operates in two segments, Wood Products and Building Materials Distribution. The Wood ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/22 00:07
End of Day Share Price2019/11/21 00:00
Earnings2019/09/30
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.