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Norbord

DB:QXP1
Snowflake Description

Acceptable track record with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
QXP1
DB
CA$2B
Market Cap
  1. Home
  2. DE
  3. Materials
Company description

Norbord Inc. manufactures and sells wood-based panels for retail chains, contractor supply yards, and industrial manufacturers primarily in North America and Europe. The last earnings update was 73 days ago. More info.


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QXP1 Share Price and Events
7 Day Returns
-2.9%
DB:QXP1
6.5%
Europe Forestry
2.8%
DE Market
1 Year Returns
-13.6%
DB:QXP1
-11.9%
Europe Forestry
3%
DE Market
QXP1 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Norbord (QXP1) -2.9% -9.6% -2.9% -13.6% -11.5% 33.9%
Europe Forestry 6.5% 1.9% 8.8% -11.9% 1% 49.9%
DE Market 2.8% 0.2% 1.3% 3% 8% 23.6%
1 Year Return vs Industry and Market
  • QXP1 underperformed the Forestry industry which returned -11.9% over the past year.
  • QXP1 underperformed the Market in Germany which returned 3% over the past year.
Price Volatility
QXP1
Industry
5yr Volatility vs Market

QXP1 Value

 Is Norbord 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 Norbord 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 Norbord.

DB:QXP1 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.8%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

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 DB:QXP1
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Forestry Unlevered Beta Simply Wall St/ S&P Global 1.37
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.367 (1 + (1- 26.5%) (52.68%))
1.601
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.6
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.601 * 5.96%)
9.77%

Discounted Cash Flow Calculation for DB:QXP1 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Norbord 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.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:QXP1 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.77%)
2020 161.97 Analyst x6 147.55
2021 185.00 Analyst x1 153.53
2022 200.95 Est @ 8.62% 151.93
2023 213.22 Est @ 6.11% 146.86
2024 222.48 Est @ 4.34% 139.60
2025 229.39 Est @ 3.11% 131.13
2026 234.54 Est @ 2.24% 122.14
2027 238.39 Est @ 1.64% 113.09
2028 241.28 Est @ 1.22% 104.28
2029 243.50 Est @ 0.92% 95.87
Present value of next 10 years cash flows $1,305.00
DB:QXP1 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $243.50 × (1 + 0.23%) ÷ (9.77% – 0.23%)
$2,557.79
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $2,557.79 ÷ (1 + 9.77%)10
$1,007.02
DB:QXP1 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,305.00 + $1,007.02
$2,312.02
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,312.02 / 81.67
$28.31
DB:QXP1 Discount to Share Price
Calculation Result
Exchange Rate USD/CAD
(Reporting currency to currency of TSX:OSB)
1.317
Value per Share
(CAD)
= Value per Share in USD x Exchange Rate (USD/CAD)
= $28.31 x 1.317
CA$37.29
Non-primary Listing Adjustment Factor 1 share in DB:QXP1 represents 0.66579x of TSX:OSB
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.66579x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 37.29 x 0.66579
€24.83
Value per share (EUR) From above. €24.83
Current discount Discount to share price of €20.20
= -1 x (€20.20 - €24.83) / €24.83
18.6%

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

Current Discount
Amount off the current price Norbord is available for.
Intrinsic value
19%
Share price is €20.2 vs Future cash flow value of €24.83
Current Discount Checks
For Norbord to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Norbord's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Norbord'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 Norbord's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Norbord's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:QXP1 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-07-06) in USD $1.06
TSX:OSB Share Price ** TSX (2019-10-11) in CAD CA$30.34
TSX:OSB Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.759 $23.03
Europe Forestry Industry PE Ratio Median Figure of 31 Publicly-Listed Forestry Companies 10.37x
Germany Market PE Ratio Median Figure of 417 Publicly-Listed Companies 19.72x

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

** Primary Listing of Norbord.

DB:QXP1 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:OSB Share Price ÷ EPS (both in USD)

= 23.03 ÷ 1.06

21.79x

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

  • Norbord is overvalued based on earnings compared to the Europe Forestry industry average.
  • Norbord is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Norbord's expected growth come at a high price?
Raw Data
DB:QXP1 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 21.79x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
60.1%per year
Europe Forestry Industry PEG Ratio Median Figure of 19 Publicly-Listed Forestry Companies 0.3x
Germany Market PEG Ratio Median Figure of 265 Publicly-Listed Companies 1.39x

*Line of best fit is calculated by linear regression .

DB:QXP1 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 21.79x ÷ 60.1%

0.36x

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

  • Norbord is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Norbord's assets?
Raw Data
DB:QXP1 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-07-06) in USD $9.17
TSX:OSB Share Price * TSX (2019-10-11) in CAD CA$30.34
TSX:OSB Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.759 $23.03
Europe Forestry Industry PB Ratio Median Figure of 39 Publicly-Listed Forestry Companies 1.17x
Germany Market PB Ratio Median Figure of 598 Publicly-Listed Companies 1.74x
DB:QXP1 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:OSB Share Price ÷ Book Value per Share (both in USD)

= 23.03 ÷ 9.17

2.51x

* Primary Listing of Norbord.

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

  • Norbord is overvalued based on assets compared to the Europe Forestry industry average.
X
Value checks
We assess Norbord'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. Norbord has a total score of 1/6, 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.

QXP1 Future Performance

 How is Norbord expected to perform in the next 1 to 3 years based on estimates from 8 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
60.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Norbord expected to grow at an attractive rate?
  • Norbord's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Norbord's earnings growth is expected to exceed the Germany market average.
  • Norbord's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:QXP1 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:QXP1 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts 60.1%
DB:QXP1 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 4.9%
Europe Forestry Industry Earnings Growth Rate Market Cap Weighted Average 3.2%
Europe Forestry Industry Revenue Growth Rate Market Cap Weighted Average 1.2%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 5%

*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
DB:QXP1 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:QXP1 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,962 138 1
2020-12-31 2,060 289 204 8
2019-12-31 1,858 163 28 8
2019-10-13
DB:QXP1 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-07-06 2,064 293 89
2019-04-06 2,324 507 277
2018-12-31 2,424 608 371
2018-09-29 2,519 704 559
2018-06-30 2,457 679 559
2018-03-31 2,286 573 482
2017-12-31 2,177 608 436
2017-09-30 2,063 516 337
2017-07-01 1,938 410 262
2017-04-01 1,849 349 209
2016-12-31 1,766 313 183
2016-09-24 1,699 239 135

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Norbord's earnings are expected to grow significantly at over 20% yearly.
  • Norbord's revenue is expected to grow by 4.9% 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
DB:QXP1 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 8 Analyst Estimates (S&P Global) See Below

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

DB:QXP1 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.69 1.69 1.69 1.00
2020-12-31 2.51 3.10 1.82 4.00
2019-12-31 0.09 0.38 -0.07 4.00
2019-10-13
DB:QXP1 Past Financials Data
Date (Data in USD Millions) EPS *
2019-07-06 1.06
2019-04-06 3.24
2018-12-31 4.29
2018-09-29 6.46
2018-06-30 6.47
2018-03-31 5.59
2017-12-31 5.06
2017-09-30 3.92
2017-07-01 3.05
2017-04-01 2.44
2016-12-31 2.14
2016-09-24 1.58

*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.
  • Norbord is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Norbord'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 Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe 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.
Norbord has a total score of 3/6, 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.

QXP1 Past Performance

  How has Norbord 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 Norbord'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.
  • Norbord has delivered over 20% year on year earnings growth in the past 5 years.
  • Norbord's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Norbord's 1-year earnings growth is negative, it can't be compared to the Europe Forestry industry average.
Earnings and Revenue History
Norbord'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 Norbord Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:QXP1 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-07-06 2,064.00 89.00 16.00
2019-04-06 2,324.00 277.00 17.00
2018-12-31 2,424.00 371.00 19.00
2018-09-29 2,519.00 559.00 18.00
2018-06-30 2,457.00 559.00 13.00
2018-03-31 2,286.00 482.00 10.00
2017-12-31 2,177.00 436.00 11.00
2017-09-30 2,063.00 337.00 14.00
2017-07-01 1,938.00 262.00 18.00
2017-04-01 1,849.00 209.00 19.00
2016-12-31 1,766.00 183.00 15.00
2016-09-24 1,699.00 135.00 16.00
2016-06-25 1,624.00 71.00 16.00
2016-03-26 1,542.00 4.00 16.00
2015-12-31 1,509.00 -56.00 17.00
2015-09-26 1,466.00 -95.00 13.00
2015-06-27 1,497.00 -115.00 13.00
2015-03-28 1,551.00 -69.00 14.00
2014-12-31 1,601.00 -39.00 15.00
2014-09-27 1,531.00 -11.00 16.00
2014-06-28 1,433.00 45.00 16.00
2014-03-29 1,379.00 75.00 14.00
2013-12-31 1,343.00 149.00 15.00
2013-09-28 1,363.00 185.00 17.00
2013-06-29 1,354.00 185.00 16.00
2013-03-30 1,261.00 138.00 18.00
2012-12-31 1,149.00 71.00 17.00

*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.
  • Norbord has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Norbord used its assets more efficiently than the Europe Forestry industry average last year based on Return on Assets.
  • Norbord has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Norbord'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.
Norbord 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.

QXP1 Health

 How is Norbord'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 Norbord's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Norbord is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Norbord's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Norbord'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 not covered by short term assets, assets are 0.8x 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 Norbord Company Filings, last reported 3 months ago.

DB:QXP1 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-07-06 749.00 978.00 315.00
2019-04-06 803.00 630.00 2.00
2018-12-31 823.00 550.00 128.00
2018-09-29 1,042.00 549.00 193.00
2018-06-30 1,206.00 549.00 298.00
2018-03-31 1,087.00 549.00 153.00
2017-12-31 1,019.00 548.00 241.00
2017-09-30 898.00 548.00 126.00
2017-07-01 784.00 547.00 7.00
2017-04-01 698.00 610.00
2016-12-31 650.00 746.00 161.00
2016-09-24 593.00 746.00 74.00
2016-06-25 553.00 745.00 12.00
2016-03-26 527.00 800.00 14.00
2015-12-31 519.00 775.00 9.00
2015-09-26 520.00 788.00 2.00
2015-06-27 547.00 794.00 10.00
2015-03-28 322.00 483.00 4.00
2014-12-31 659.00 748.00 92.00
2014-09-27 399.00 434.00 54.00
2014-06-28 438.00 434.00 83.00
2014-03-29 452.00 433.00 117.00
2013-12-31 476.00 433.00 193.00
2013-09-28 498.00 435.00 239.00
2013-06-29 485.00 434.00 220.00
2013-03-30 447.00 434.00 158.00
2012-12-31 385.00 433.00 128.00
  • Norbord's level of debt (130.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (100% vs 130.6% today).
  • Debt is well covered by operating cash flow (30%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6x coverage).
X
Financial health checks
We assess Norbord'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. Norbord has a total score of 3/6, 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.

QXP1 Dividends

 What is Norbord'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
5.21%
Current annual income from Norbord dividends. Estimated to be 4.96% next year.
If you bought €2,000 of Norbord shares you are expected to receive €104 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?
  • Norbord's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.46%).
  • Norbord's dividend is above the markets top 25% of dividend payers in Germany (3.86%).
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
DB:QXP1 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 8 Analyst Estimates (S&P Global) See Below
Europe Forestry Industry Average Dividend Yield Market Cap Weighted Average of 24 Stocks 4.4%
Germany Market Average Dividend Yield Market Cap Weighted Average of 337 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

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

DB:QXP1 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.80 1.00
2020-12-31 1.12 6.00
2019-12-31 1.24 5.00
2019-10-13
DB:QXP1 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-08-01 1.199 5.217
2018-11-01 1.759 7.114
2018-05-03 1.800 4.994
2017-10-27 1.833 5.242
2017-07-28 1.554 4.414
2017-02-03 0.291 1.019
2016-10-28 0.295 1.212
2016-04-29 0.299 1.347
2016-01-28 0.284 1.665
2015-10-30 0.274 1.530
2015-05-01 0.746 4.132
2015-01-28 8.600 41.050
2014-07-29 1.928 10.168
2014-05-02 2.160 8.785
2013-11-01 2.135 7.882
2013-04-30 2.268 7.763
2010-07-22 0.000 0.000
2010-04-27 0.000 0.000
2010-01-29 0.000 0.000
2009-10-30 0.000 0.000
2009-10-15 0.000 0.000
2009-07-31 0.000 0.000
2008-11-12 0.000 0.000
2008-10-24 3.085 24.237

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

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Norbord's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.2x coverage).
X
Income/ dividend checks
We assess Norbord's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.7%) - 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 Norbord afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Norbord has a total score of 3/6, see the detailed checks below.


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

QXP1 Management

 What is the CEO of Norbord'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
Peter Wijnbergen
COMPENSATION $4,697,709
AGE 57
TENURE AS CEO 5.8 years
CEO Bio

Mr. Peter C. Wijnbergen has been the Chief Executive Officer and President of Norbord, Inc. since January 1, 2014. Mr. Wijnbergen served as Chief Operating Officer and Senior Vice President of Norbord, Inc. from September 1, 2010 to December 31, 2013. He served as Senior Vice President of Eastern Operations at Norbord Inc. from December 2007 to September 1, 2010. Mr. Wijnbergen served as Senior Vice President of Marketing, Sales and Logistics at Norbord Inc. from January 2005 to December 2007. He served as Vice-President of Sales, Marketing and Logistics at Norbord Industries Inc. since September 2002. He has been a Director of Norbord, Inc. since 2014. Mr. Wijnbergen holds a Bachelor of Arts Degree in Economics from University of Toronto and speaks fluently in English, French, Dutch and German.

CEO Compensation
  • Peter's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Peter's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the Norbord management team in years:

5.8
Average Tenure
  • The average tenure for the Norbord management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Peter Wijnbergen

TITLE
President
COMPENSATION
$5M
AGE
57
TENURE
5.8 yrs

Robin Lampard

TITLE
Senior VP & CFO
COMPENSATION
$3M
TENURE
11.7 yrs

Nigel Banks

TITLE
Senior Vice President of Corporate Services
COMPENSATION
$1M
TENURE
8.9 yrs

Kevin Burke

TITLE
Senior Vice President of North American Operations
COMPENSATION
$1M
TENURE
1.7 yrs

Alan McMeekin

TITLE
Senior Vice President of Europe
COMPENSATION
$1M
TENURE
1.5 yrs

James Black

TITLE
Vice President of Technology & Engineering Services

Mark Dubois-Phillips

TITLE
Senior Vice President of Sales
TENURE
0.8 yrs

Elaine Toomey

TITLE
Assistant Corporate Secretary
TENURE
10.3 yrs
Board of Directors Tenure

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

4.8
Average Tenure
64
Average Age
  • The tenure for the Norbord board of directors is about average.
Board of Directors

J. Gordon

TITLE
Chairman
COMPENSATION
$170K
AGE
58

Peter Wijnbergen

TITLE
President
COMPENSATION
$5M
AGE
57
TENURE
5.8 yrs

Pierre Dupuis

TITLE
Independent Director
COMPENSATION
$129K
AGE
74
TENURE
24.8 yrs

Paul Houston

TITLE
Lead Director
COMPENSATION
$124K
AGE
70
TENURE
4.4 yrs

Jack Cockwell

TITLE
Director
COMPENSATION
$119K
AGE
78
TENURE
32.8 yrs

Paul Gagné

TITLE
Independent Director
COMPENSATION
$109K
AGE
72
TENURE
4.8 yrs

Denise Nemchev

TITLE
Independent Director
COMPENSATION
$83K
AGE
49
TENURE
1.4 yrs

Lori Pearson

TITLE
Director
AGE
57
TENURE
0.4 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Norbord individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
20. Sep 19 Buy Paul Houston Individual 20. Sep 19 20. Sep 19 325 €21.01 €6,829
11. Sep 19 Sell Paul Houston Individual 09. Sep 19 09. Sep 19 -335 €21.31 €-7,138
11. Sep 19 Buy Paul Houston Individual 06. Aug 19 19. Aug 19 6,800 €20.56 €134,056
06. Sep 19 Sell Paul Houston Individual 06. Sep 19 06. Sep 19 -335 €21.19 €-7,100
09. Aug 19 Buy Paul Houston Individual 06. Aug 19 06. Aug 19 6,190 €19.32 €118,834
X
Management checks
We assess Norbord'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. Norbord 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.

QXP1 News

Simply Wall St News

QXP1 Company Info

Description

Norbord Inc. manufactures and sells wood-based panels for retail chains, contractor supply yards, and industrial manufacturers primarily in North America and Europe. The company offers oriented strand boards for use in sheathing, flooring, and roofing in home construction applications; particleboards that are used in flooring and other construction applications; and medium density fiberboards for use in cabinet doors, mouldings, and interior wall paneling applications, as well as related value-added products for use in the construction of new homes, and renovation and repair of existing structures. It markets its products under the Durastrand pointSIX, Pinnacle, Stabledge, TruFlor pointSIX and TruFlor, SteadiTred, QuakeZone, Tallwall, Trubord and Windstorm, SolarBord, TruDeck, StableDec, SterlingOSB, Caberwood MDF, and Conti, and Caberboard brands. The company was formerly known as Nexfor Inc. and changed its name to Norbord Inc. in June 2004. Norbord Inc. was founded in 1987 and is headquartered in Toronto, Canada.

Details
Name: Norbord Inc.
QXP1
Exchange: DB
Founded: 1987
CA$1,702,397,057
81,668,583
Website: http://www.norbord.com
Address: Norbord Inc.
1 Toronto Street,
Suite 600,
Toronto,
Ontario, M5C 2W4,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX OSB Common Shares The Toronto Stock Exchange CA CAD 08. Jul 1987
NYSE OSB Common Shares New York Stock Exchange US USD 08. Jul 1987
DB QXP1 Common Shares Deutsche Boerse AG DE EUR 08. Jul 1987
Number of employees
Current staff
Staff numbers
2,700
Norbord employees.
Industry
Forest Products
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/10/13 21:31
End of day share price update: 2019/10/11 00:00
Last estimates confirmation: 2019/10/10
Last earnings filing: 2019/08/01
Last earnings reported: 2019/07/06
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.