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Canfor

OTCPK:CFPZ.F
Snowflake Description

Excellent balance sheet and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CFPZ.F
OTCPK
CA$2B
Market Cap
  1. Home
  2. US
  3. Materials
Company description

Canfor Corporation operates as an integrated forest products company in Canada and internationally. The last earnings update was 64 days ago. More info.


Add to Portfolio Compare Print
  • Canfor has significant price volatility in the past 3 months.
CFPZ.F Share Price and Events
7 Day Returns
-5.1%
OTCPK:CFPZ.F
0.5%
US Forestry
0.9%
US Market
1 Year Returns
-56.9%
OTCPK:CFPZ.F
-4.8%
US Forestry
9.6%
US Market
CFPZ.F Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Canfor (CFPZ.F) -5.1% 0.8% -28.8% -56.9% -11.8% -58%
US Forestry 0.5% 2% 1.6% -4.8% 17.6% 2.7%
US Market 0.9% 4.6% 10.9% 9.6% 39% 47.2%
1 Year Return vs Industry and Market
  • CFPZ.F underperformed the Forestry industry which returned -4.8% over the past year.
  • CFPZ.F underperformed the Market in United States of America which returned 9.6% over the past year.
Price Volatility
CFPZ.F
Industry
5yr Volatility vs Market

Value

 Is Canfor undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Canfor to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Canfor.

OTCPK:CFPZ.F Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 12%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OTCPK:CFPZ.F
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Forestry Unlevered Beta Simply Wall St/ S&P Global 1.56
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.557 (1 + (1- 26.5%) (24.52%))
1.562
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.56
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.562 * 5.96%)
12.04%

Discounted Cash Flow Calculation for OTCPK:CFPZ.F using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Canfor is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OTCPK:CFPZ.F DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 12.04%)
2019 282.13 Analyst x3 251.82
2020 235.63 Analyst x4 187.72
2021 226.43 Est @ -3.9% 161.01
2022 222.11 Est @ -1.91% 140.97
2023 220.95 Est @ -0.52% 125.17
2024 221.96 Est @ 0.46% 112.23
2025 224.49 Est @ 1.14% 101.31
2026 228.11 Est @ 1.62% 91.89
2027 232.56 Est @ 1.95% 83.62
2028 237.64 Est @ 2.18% 76.26
Present value of next 10 years cash flows CA$1,332.00
OTCPK:CFPZ.F DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CA$237.64 × (1 + 2.73%) ÷ (12.04% – 2.73%)
CA$2,623.14
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$2,623.14 ÷ (1 + 12.04%)10
CA$841.82
OTCPK:CFPZ.F Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$1,332.00 + CA$841.82
CA$2,173.82
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$2,173.82 / 125.22
CA$17.36
OTCPK:CFPZ.F Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in OTCPK:CFPZ.F represents 0.74485x of TSX:CFP
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.74485x
Value per Share
(Listing Adjusted, USD)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 17.36 x 0.74485
$12.93
Value per share (USD) From above. $12.93
Current discount Discount to share price of $9.91
= -1 x ($9.91 - $12.93) / $12.93
23.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Canfor is available for.
Intrinsic value
23%
Share price is $9.91 vs Future cash flow value of $12.93
Current Discount Checks
For Canfor to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Canfor's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Canfor's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Canfor's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Canfor's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OTCPK:CFPZ.F PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CAD CA$2.78
TSX:CFP Share Price ** TSX (2019-04-25) in CAD CA$13.3
United States of America Forestry Industry PE Ratio Median Figure of 10 Publicly-Listed Forestry Companies 9.23x
United States of America Market PE Ratio Median Figure of 3,081 Publicly-Listed Companies 18.28x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Canfor.

OTCPK:CFPZ.F PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:CFP Share Price ÷ EPS (both in CAD)

= 13.3 ÷ 2.78

4.79x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Canfor is good value based on earnings compared to the US Forestry industry average.
  • Canfor is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Canfor's expected growth come at a high price?
Raw Data
OTCPK:CFPZ.F PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 4.79x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
-34.3%per year
United States of America Forestry Industry PEG Ratio Median Figure of 8 Publicly-Listed Forestry Companies 1.03x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

OTCPK:CFPZ.F PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 4.79x ÷ -34.3%

-0.14x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Canfor earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Canfor's assets?
Raw Data
OTCPK:CFPZ.F PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CAD CA$16.42
TSX:CFP Share Price * TSX (2019-04-25) in CAD CA$13.3
United States of America Forestry Industry PB Ratio Median Figure of 15 Publicly-Listed Forestry Companies 1.21x
United States of America Market PB Ratio Median Figure of 5,185 Publicly-Listed Companies 1.92x
OTCPK:CFPZ.F PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:CFP Share Price ÷ Book Value per Share (both in CAD)

= 13.3 ÷ 16.42

0.81x

* Primary Listing of Canfor.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Canfor is good value based on assets compared to the US Forestry industry average.
X
Value checks
We assess Canfor's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Forestry industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Forestry industry average (and greater than 0)? (1 check)
  5. Canfor has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-34.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Canfor expected to grow at an attractive rate?
  • Canfor's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Canfor's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Canfor's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
OTCPK:CFPZ.F Future Growth Rates Data Sources
Data Point Source Value (per year)
OTCPK:CFPZ.F Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts -34.3%
OTCPK:CFPZ.F Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 6.2%
United States of America Forestry Industry Earnings Growth Rate Market Cap Weighted Average 9.3%
United States of America Forestry Industry Revenue Growth Rate Market Cap Weighted Average 2.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.5%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OTCPK:CFPZ.F Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OTCPK:CFPZ.F Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 5,704 553 192 4
2019-12-31 5,321 487 163 4
OTCPK:CFPZ.F Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2018-12-31 5,044 536 355
2018-09-30 5,268 800 539
2018-06-30 5,087 726 480
2018-03-31 4,787 610 392
2017-12-31 4,563 610 345
2017-09-30 4,451 615 252
2017-06-30 4,410 636 236
2017-03-31 4,272 606 191
2016-12-31 4,235 584 151
2016-09-30 4,244 458 115
2016-06-30 4,133 369 46
2016-03-31 4,063 272 21

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Canfor's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Canfor's revenue is expected to grow by 6.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OTCPK:CFPZ.F Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Canfor Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:CFPZ.F Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 1.75 2.07 1.30 3.00
2019-12-31 1.30 1.51 1.09 2.00
OTCPK:CFPZ.F Past Financials Data
Date (Data in CAD Millions) EPS *
2018-12-31 2.78
2018-09-30 4.19
2018-06-30 3.71
2018-03-31 3.00
2017-12-31 2.63
2017-09-30 1.90
2017-06-30 1.78
2017-03-31 1.44
2016-12-31 1.14
2016-09-30 0.86
2016-06-30 0.35
2016-03-31 0.16

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Canfor is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Canfor's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Canfor has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Canfor performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Canfor's growth in the last year to its industry (Forestry).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Canfor has delivered over 20% year on year earnings growth in the past 5 years.
  • Canfor's 1-year earnings growth is less than its 5-year average (2.8% vs 27.3%)
  • Canfor's earnings growth has not exceeded the US Forestry industry average in the past year (2.8% vs 82.4%).
Earnings and Revenue History
Canfor's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Canfor Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OTCPK:CFPZ.F Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 5,044.40 354.90 760.00
2018-09-30 5,267.80 539.10 795.70
2018-06-30 5,087.00 480.00 782.00
2018-03-31 4,787.10 391.50 774.50
2017-12-31 4,563.30 345.40 762.80
2017-09-30 4,450.80 251.60 751.20
2017-06-30 4,409.50 236.30 757.80
2017-03-31 4,272.20 191.00 742.80
2016-12-31 4,234.90 150.90 749.40
2016-09-30 4,244.40 114.50 784.40
2016-06-30 4,133.10 46.30 779.90
2016-03-31 4,063.20 21.40 780.70
2015-12-31 3,925.30 24.70 756.90
2015-09-30 3,732.70 53.00 699.40
2015-06-30 3,580.80 115.80 673.80
2015-03-31 3,535.70 159.00 669.90
2014-12-31 3,347.60 175.20 633.50
2014-09-30 3,296.70 173.30 640.00
2014-06-30 3,214.60 156.20 627.50
2014-03-31 3,150.50 212.20 606.70
2013-12-31 3,194.90 228.60 620.30
2013-09-30 3,085.70 221.90 598.40
2013-06-30 2,993.50 214.00 586.70
2013-03-31 2,835.30 106.30 576.50
2012-12-31 2,642.80 26.40 565.10
2012-09-30 2,518.70 -39.00 545.10
2012-06-30 2,457.10 -81.10 540.90

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Canfor has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Canfor used its assets more efficiently than the US Forestry industry average last year based on Return on Assets.
  • Canfor has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Canfor's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Forestry industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Canfor has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Canfor's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Canfor's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Canfor is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Canfor's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Canfor's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 3.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Canfor Company Filings, last reported 3 months ago.

OTCPK:CFPZ.F Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 2,339.90 408.40 252.70
2018-09-30 2,450.60 393.90 591.30
2018-06-30 2,379.30 398.60 572.80
2018-03-31 2,168.70 392.90 296.10
2017-12-31 2,001.00 385.70 288.20
2017-09-30 1,833.20 430.20 278.80
2017-06-30 1,851.90 440.40 302.90
2017-03-31 1,810.00 487.50 164.20
2016-12-31 1,738.50 476.00 156.60
2016-09-30 1,676.10 537.60 141.80
2016-06-30 1,608.60 568.40 157.50
2016-03-31 1,618.80 645.10 132.70
2015-12-31 1,627.70 614.20 97.50
2015-09-30 1,628.50 380.20 86.70
2015-06-30 1,638.00 370.90 143.90
2015-03-31 1,622.50 411.90 214.20
2014-12-31 1,637.60 296.60 158.30
2014-09-30 1,633.10 298.40 146.40
2014-06-30 1,556.70 296.20 107.70
2014-03-31 1,635.20 335.30 87.90
2013-12-31 1,597.40 227.70 89.50
2013-09-30 1,549.70 216.30 89.90
2013-06-30 1,520.40 218.70 171.70
2013-03-31 1,386.30 327.90 6.20
2012-12-31 1,311.90 311.10
2012-09-30 1,289.40 299.00
2012-06-30 1,295.40 305.50 6.00
  • Canfor's level of debt (17.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (14.3% vs 17.5% today).
  • Debt is well covered by operating cash flow (131.3%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 37.1x coverage).
X
Financial health checks
We assess Canfor's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Canfor has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Canfor dividends. Estimated to be 1.13% next year.
If you bought $2,000 of Canfor shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Canfor's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Canfor's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OTCPK:CFPZ.F Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Forestry Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2008 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OTCPK:CFPZ.F Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.15 1.00
2019-12-31 0.15 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Canfor has not reported any payouts.
  • Unable to verify if Canfor's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Canfor's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Canfor has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (13x coverage).
X
Income/ dividend checks
We assess Canfor's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Canfor afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Canfor has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Don Kayne
COMPENSATION CA$2,110,000
AGE 60
TENURE AS CEO 7.9 years
CEO Bio

Mr. Donald B. Kayne, also known as Don, has been the Chief Executive Officer of Canfor Pulp Products Inc., since September 30, 2012 and serves as its Director since 2017. Mr. Kayne has been the Chief Executive Officer, Director since 2017 and President of Canfor Corp. since May 5, 2011. He served as the Chief Executive Officer of Canfor Pulp Holding Inc. at Canfor Pulp Limited Partnership and since September 30, 2012. He spent 10 years as Vice President of Wood Products Marketing and Sales at Canfor from January 2001 to May 5, 2011. Prior to this, he served as a General Manager of Wood Products Sales and Marketing at Canfor for six years. He began his career with Canfor as a regional sales representative in 1979 and has held a variety of sales and marketing roles in its Wood Products Group. Prior to being appointed CEO, Don spent 10 years as Canfor’s Vice President of Sales and Marketing, and is one of the lead architects of the market for British Columbia lumber in China. He completed the Forestry and Business Administration program at the British Columbia Institute of Technology. He has been an Independent Director at Cameco Corporation since January 1, 2016. In 2014, he was appointed to the bi-national Softwood Lumber Board. He is a director and past chair of the Forest Products Association of Canada, Council of Forest Industries, Alberta Forest Products Association and the BC Lumber Trade Council. Mr. Kayne is also chair of the Educating Girls of Rural China Foundation, a charitable organization that works to improve the lives of women in rural areas of western China by providing access to education.

CEO Compensation
  • Don's compensation has increased by more than 20% in the past year.
  • Don's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure of the Canfor management team in years:

3.8
Average Tenure
  • The tenure for the Canfor management team is about average.
Management Team

Don Kayne

TITLE
President
COMPENSATION
CA$2M
AGE
60
TENURE
7.9 yrs

Alan Nicholl

TITLE
CFO & Executive VP of Finance
COMPENSATION
CA$1M
TENURE
7.9 yrs

David Calabrigo

TITLE
Senior VP of Corporate Development & Legal Affairs and Corporate Secretary
COMPENSATION
CA$1M
AGE
59
TENURE
7.9 yrs

Mark Feldinger

TITLE
Senior Vice President of Global Supply Chain
COMPENSATION
CA$1M
TENURE
7.9 yrs

Fred Stimpson

TITLE
President of Canfor Southern Pine
COMPENSATION
CA$1M
TENURE
4.2 yrs

Pat Elliott

TITLE
Vice President of Corporate Finance & Strategy
TENURE
1 yrs

David Trent

TITLE
Vice President of Technology & Digital
TENURE
0.9 yrs

Katy Player

TITLE
Vice President People & Communications
TENURE
1.1 yrs

Kevin Pankratz

TITLE
Senior Vice President of Sales & Marketing
TENURE
1.3 yrs

Stephen MacKie

TITLE
Senior Vice President of Canadian Operations
TENURE
3.4 yrs
Board of Directors Tenure

Average tenure and age of the Canfor board of directors in years:

5.5
Average Tenure
66
Average Age
  • The tenure for the Canfor board of directors is about average.
Board of Directors

Conrad Pinette

TITLE
Chairman of the Board
COMPENSATION
CA$105K
AGE
78
TENURE
1.7 yrs

Don Kayne

TITLE
President
COMPENSATION
CA$2M
AGE
60
TENURE
2.3 yrs

Peter J. Bentley

TITLE
Chairman Emeritus
COMPENSATION
CA$115K
AGE
88
TENURE
10 yrs

Ross Smith

TITLE
Independent Director
COMPENSATION
CA$129K
AGE
79
TENURE
9.9 yrs

Glen Clark

TITLE
Non Independent Director
COMPENSATION
CA$116K
AGE
60
TENURE
9.9 yrs

Ryan Barrington-Foote

TITLE
Non Independent Director
COMPENSATION
CA$93K
AGE
39
TENURE
2 yrs

Mack Singleton

TITLE
Independent Director
COMPENSATION
CA$111K
AGE
72
TENURE
11.5 yrs

William Stinson

TITLE
Independent Director
COMPENSATION
CA$128K
AGE
84
TENURE
7.9 yrs

John Baird

TITLE
Independent Director
COMPENSATION
CA$102K
AGE
48
TENURE
3 yrs

Dallas Ross

TITLE
Director
AGE
60
TENURE
1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
31. Jan 19 Buy Mark Feldinger Individual 31. Dec 18 31. Dec 18 1,587 $19.63 $31,146
07. Dec 18 Buy John Baird Individual 05. Dec 18 05. Dec 18 5,985 $12.49 $74,743
26. Nov 18 Buy Solo Estates Limited Company 26. Nov 18 26. Nov 18 10,000 $14.41 $144,146
19. Nov 18 Buy Conrad Pinette Individual 19. Nov 18 19. Nov 18 5,000 $13.84 $69,191
19. Nov 18 Buy William Stinson Individual 19. Nov 18 19. Nov 18 6,000 $14.03 $83,274
30. Apr 18 Buy John Baird Individual 30. Apr 18 30. Apr 18 5,000 $23.26 $116,287
X
Management checks
We assess Canfor's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Canfor has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Canfor Corporation operates as an integrated forest products company in Canada and internationally. It operates through two segments, Lumber, and Pulp and Paper. The company manufactures and sells softwood lumber, pulp and paper products, remanufactured lumber products, engineered wood products, and wood pellets, as well as produces green energy. It also offers wood chips, logs, and kraft paper; and produces and sells pulp and paper products, including northern bleached softwood kraft and bleached chemi-thermo mechanical pulp. The company’s products are used in residential, commercial, and industrial construction. It also offers its products in Asia, the United States, and Europe. The company was founded in 1938 and is based in Vancouver, Canada.

Details
Name: Canfor Corporation
CFPZ.F
Exchange: OTCPK
Founded: 1938
CA$1,234,164,069
125,219,400
Website: http://www.canfor.com
Address: Canfor Corporation
100-1700 West 75th Avenue,
Vancouver,
British Columbia, V6P 6G2,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX CFP Common Shares The Toronto Stock Exchange CA CAD 22. Sep 1983
OTCPK CFPZ.F Common Shares Pink Sheets LLC US USD 22. Sep 1983
DB NKC Common Shares Deutsche Boerse AG DE EUR 22. Sep 1983
Number of employees
Current staff
Staff numbers
6,240
Canfor employees.
Industry
Forest Products
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/26 02:43
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/04/25
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.