| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 0/6 |
| Past Performance | 6/6 |
| Financial Health | 6/6 |
| Dividends | 2/6 |
LPX Overview
Louisiana-Pacific Corporation, together with its subsidiaries, manufactures and markets building products primarily for use in new home construction, repair and remodeling, and outdoor structure markets.
Louisiana-Pacific Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$61.69 |
| 52 Week High | US$27.01 |
| 52 Week Low | US$76.35 |
| Beta | 1.85 |
| 1 Month Change | 2.15% |
| 3 Month Change | 6.23% |
| 1 Year Change | 107.36% |
| 3 Year Change | 126.97% |
| 5 Year Change | 229.72% |
| Change since IPO | 320.61% |
Recent News & Updates
Should You Be Adding Louisiana-Pacific (NYSE:LPX) To Your Watchlist Today?
Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...
Is Louisiana-Pacific (NYSE:LPX) A Risky Investment?
Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
Don't Yell 'TIMBER' On Louisiana-Pacific Corp. Just Yet
Demand for lumber shot up when pandemic shut-ins undertook home remodeling and repairs. Combined with lumber shortages, lumber prices and company profits shot up. Shares hit a new high. Overall, we are not excited for retail value investors to initiate new positions or add shares. Shares are valued high while new house sales are sleepy. Louisiana-Pacific is a seasoned company in business for half a century weathering challenges, deep assets, profitable, but lacks a wellspring to spark a stock price jump.
Shareholder Returns
| LPX | US Forestry | US Market | |
|---|---|---|---|
| 7D | 1.1% | 2.6% | -0.5% |
| 1Y | 107.4% | 79.5% | 37.5% |
Return vs Industry: LPX exceeded the US Forestry industry which returned 76.7% over the past year.
Return vs Market: LPX exceeded the US Market which returned 36.2% over the past year.
Price Volatility
| LPX volatility | |
|---|---|
| LPX Beta | 1.85 |
| Industry Beta | 1.85 |
| Market Beta | 1 |
Stable Share Price: LPX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: LPX's weekly volatility (5%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1972 | 4,500 | Brad Southern | https://www.lpcorp.com |
Louisiana-Pacific Corporation, together with its subsidiaries, manufactures and markets building products primarily for use in new home construction, repair and remodeling, and outdoor structure markets. It operates through four segments: Siding; Oriented Strand Board (OSB); Engineered Wood Products (EWP); and South America. The Siding segment offers LP SmartSide trim and siding products, ExpertFinish prefinished siding products, and LP outdoor building solutions for premium outdoor buildings; and engineered wood siding, trim, soffit, and fascia products.
Louisiana-Pacific Fundamentals Summary
| LPX fundamental statistics | |
|---|---|
| Market Cap | US$5.71b |
| Earnings (TTM) | US$1.25b |
| Revenue (TTM) | US$4.00b |
4.7x
P/E Ratio1.5x
P/S RatioIs LPX overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| LPX income statement (TTM) | |
|---|---|
| Revenue | US$4.00b |
| Cost of Revenue | US$2.17b |
| Gross Profit | US$1.83b |
| Expenses | US$577.00m |
| Earnings | US$1.25b |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 11.75 |
| Gross Margin | 45.73% |
| Net Profit Margin | 31.30% |
| Debt/Equity Ratio | 24.0% |
How did LPX perform over the long term?
See historical performance and comparisonDividends
1.2%
Current Dividend Yield5%
Payout RatioValuation
Is Louisiana-Pacific undervalued compared to its fair value and its price relative to the market?
4.7x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: LPX ($61.69) is trading above our estimate of fair value ($15.39)
Significantly Below Fair Value: LPX is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: LPX is good value based on its PE Ratio (4.7x) compared to the US Forestry industry average (17.8x).
PE vs Market: LPX is good value based on its PE Ratio (4.7x) compared to the US market (17.7x).
Price to Earnings Growth Ratio
PEG Ratio: LPX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: LPX is overvalued based on its PB Ratio (4.1x) compared to the US Forestry industry average (1.3x).
Future Growth
How is Louisiana-Pacific forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
-50.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LPX's earnings are forecast to decline over the next 3 years (-50.7% per year).
Earnings vs Market: LPX's earnings are forecast to decline over the next 3 years (-50.7% per year).
High Growth Earnings: LPX's earnings are forecast to decline over the next 3 years.
Revenue vs Market: LPX's revenue is expected to decline over the next 3 years (-12.9% per year).
High Growth Revenue: LPX's revenue is forecast to decline over the next 3 years (-12.9% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if LPX's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Louisiana-Pacific performed over the past 5 years?
24.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LPX has high quality earnings.
Growing Profit Margin: LPX's current net profit margins (31.3%) are higher than last year (0.7%).
Past Earnings Growth Analysis
Earnings Trend: LPX's earnings have grown significantly by 24.7% per year over the past 5 years.
Accelerating Growth: LPX's earnings growth over the past year (7258.8%) exceeds its 5-year average (24.7% per year).
Earnings vs Industry: LPX earnings growth over the past year (7258.8%) exceeded the Forestry industry 178.8%.
Return on Equity
High ROE: LPX's Return on Equity (86.7%) is considered outstanding.
Financial Health
How is Louisiana-Pacific's financial position?
Financial Position Analysis
Short Term Liabilities: LPX's short term assets ($1.2B) exceed its short term liabilities ($353.0M).
Long Term Liabilities: LPX's short term assets ($1.2B) exceed its long term liabilities ($572.0M).
Debt to Equity History and Analysis
Debt Level: LPX's debt to equity ratio (24%) is considered satisfactory.
Reducing Debt: LPX's debt to equity ratio has reduced from 69% to 24% over the past 5 years.
Debt Coverage: LPX's debt is well covered by operating cash flow (378.9%).
Interest Coverage: LPX's interest payments on its debt are well covered by EBIT (115.9x coverage).
Balance Sheet
Dividend
What is Louisiana-Pacific current dividend yield, its reliability and sustainability?
1.17%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LPX's dividend (1.17%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: LPX's dividend (1.17%) is low compared to the top 25% of dividend payers in the US market (3.63%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, LPX has been paying a dividend for less than 10 years.
Growing Dividend: LPX's dividend payments have increased, but the company has only paid a dividend for 4 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (5.2%), LPX's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LPX's dividends in 3 years are forecast to be thoroughly covered by earnings (12.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Brad Southern (61 yo)
4.17yrs
Tenure
US$7,491,619
Compensation
Mr. William Bradley Southern, also known as Brad, has been Chief Executive Officer of Louisiana-pacific Corp. since July 1, 2017 and has been its Chairman since May 22, 2020. Mr. Southern serves as Directo...
CEO Compensation Analysis
Compensation vs Market: Brad's total compensation ($USD7.49M) is about average for companies of similar size in the US market ($USD6.46M).
Compensation vs Earnings: Brad's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: LPX's management team is considered experienced (2.7 years average tenure).
Board Members
Experienced Board: LPX's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: LPX 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
Louisiana-Pacific Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Louisiana-Pacific Corporation
- Ticker: LPX
- Exchange: NYSE
- Founded: 1972
- Industry: Forest Products
- Sector: Materials
- Market Cap: US$5.711b
- Shares outstanding: 95.23m
- Website: https://www.lpcorp.com
Number of Employees
Location
- Louisiana-Pacific Corporation
- 414 Union Street
- Suite 2000
- Nashville
- Tennessee
- 37219-1700
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/23 22:56 |
| End of Day Share Price | 2021/09/23 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.