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West Fraser Timber

DB:WFC
Snowflake Description

Reasonable growth potential unattractive dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WFC
DB
CA$4B
Market Cap
  1. Home
  2. DE
  3. Materials
Company description

West Fraser Timber Co. Ltd. produces and sells lumber, panels, and pulp and paper in western Canada and the southern United States. The last earnings update was 6 days ago. More info.


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WFC Share Price and Events
7 Day Returns
12.2%
DB:WFC
1.4%
Europe Forestry
1.7%
DE Market
1 Year Returns
-7.6%
DB:WFC
2.1%
Europe Forestry
15%
DE Market
WFC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
West Fraser Timber (WFC) 12.2% 3.8% 7.8% -7.6% 15.9% -14.9%
Europe Forestry 1.4% 2.6% -2.1% 2.1% -8.3% 20.5%
DE Market 1.7% 0.8% 3.7% 15% 6.9% 7.3%
1 Year Return vs Industry and Market
  • WFC underperformed the Forestry industry which returned 2.1% over the past year.
  • WFC underperformed the Market in Germany which returned 15% over the past year.
Price Volatility
WFC
Industry
5yr Volatility vs Market

WFC Value

 Is West Fraser Timber 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 West Fraser Timber 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 West Fraser Timber.

DB:WFC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.9%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

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:WFC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Forestry Unlevered Beta Simply Wall St/ S&P Global 1.27
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.269 (1 + (1- 26.5%) (24.09%))
1.331
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.33
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.331 * 5.44%)
6.85%

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

The calculations below outline how an intrinsic value for West Fraser Timber 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:WFC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 6.85%)
2020 243.00 Analyst x3 227.42
2021 323.80 Analyst x4 283.61
2022 322.04 Est @ -0.54% 263.99
2023 320.44 Est @ -0.5% 245.84
2024 318.95 Est @ -0.46% 229.01
2025 317.54 Est @ -0.44% 213.38
2026 316.19 Est @ -0.43% 198.85
2027 314.87 Est @ -0.42% 185.32
2028 313.59 Est @ -0.41% 172.74
2029 312.33 Est @ -0.4% 161.01
Present value of next 10 years cash flows CA$2,181.00
DB:WFC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$312.33 × (1 + -0.39%) ÷ (6.85% – -0.39%)
CA$4,296.95
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$4,296.95 ÷ (1 + 6.85%)10
CA$2,215.17
DB:WFC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$2,181.00 + CA$2,215.17
CA$4,396.17
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$4,396.17 / 68.66
CA$64.02
DB:WFC Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:WFC represents 0.69653x of TSX:WFT
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.69653x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 64.02 x 0.69653
€44.60
Value per share (EUR) From above. €44.60
Current discount Discount to share price of €44.00
= -1 x (€44.00 - €44.60) / €44.60
1.3%

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

Current Discount
Amount off the current price West Fraser Timber is available for.
Intrinsic value
1%
Share price is €44 vs Future cash flow value of €44.6
Current Discount Checks
For West Fraser Timber to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • West Fraser Timber's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • West Fraser Timber'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 West Fraser Timber's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are West Fraser Timber's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:WFC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$-2.18
TSX:WFT Share Price ** TSX (2020-02-17) in CAD CA$63.17
Europe Forestry Industry PE Ratio Median Figure of 30 Publicly-Listed Forestry Companies 11.15x
Germany Market PE Ratio Median Figure of 401 Publicly-Listed Companies 21.14x

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

** Primary Listing of West Fraser Timber.

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

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

= 63.17 ÷ -2.18

-29.01x

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

  • West Fraser Timber is loss making, we can't compare its value to the Europe Forestry industry average.
  • West Fraser Timber is loss making, we can't compare the value of its earnings to the Germany market.
Price based on expected Growth
Does West Fraser Timber's expected growth come at a high price?
Raw Data
DB:WFC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -29.01x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
97.3%per year
Europe Forestry Industry PEG Ratio Median Figure of 21 Publicly-Listed Forestry Companies 0.38x
Germany Market PEG Ratio Median Figure of 260 Publicly-Listed Companies 1.58x

*Line of best fit is calculated by linear regression .

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

  • Unable to calculate PEG ratio for West Fraser Timber, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on West Fraser Timber's assets?
Raw Data
DB:WFC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$36.03
TSX:WFT Share Price * TSX (2020-02-17) in CAD CA$63.17
Europe Forestry Industry PB Ratio Median Figure of 38 Publicly-Listed Forestry Companies 1.07x
Germany Market PB Ratio Median Figure of 575 Publicly-Listed Companies 1.94x
DB:WFC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 63.17 ÷ 36.03

1.75x

* Primary Listing of West Fraser Timber.

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

  • West Fraser Timber is overvalued based on assets compared to the Europe Forestry industry average.
X
Value checks
We assess West Fraser Timber'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. West Fraser Timber has a total score of 0/6, 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.

WFC Future Performance

 How is West Fraser Timber expected to perform in the next 1 to 3 years based on estimates from 5 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
97.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is West Fraser Timber expected to grow at an attractive rate?
  • West Fraser Timber's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • West Fraser Timber's earnings growth is expected to exceed the Germany market average.
  • West Fraser Timber's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:WFC Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:WFC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 97.3%
DB:WFC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 5.8%
Europe Forestry Industry Earnings Growth Rate Market Cap Weighted Average -9.8%
Europe Forestry Industry Revenue Growth Rate Market Cap Weighted Average 0.5%
Germany Market Earnings Growth Rate Market Cap Weighted Average 13.3%
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:WFC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:WFC Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31 5,471 607 355 5
2020-12-31 5,267 460 240 5
2020-02-17
DB:WFC Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 4,877 115 -150
2019-09-30 5,022 87 -79
2019-06-30 5,478 370 204
2019-03-31 5,995 738 608
2018-12-31 6,118 909 810
2018-09-30 6,220 1,152 988
2018-06-30 5,821 1,048 870
2018-03-31 5,309 879 670
2017-12-31 5,134 902 596
2017-09-30 4,865 829 468
2017-06-30 4,773 783 455
2017-03-31 4,562 678 407

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • West Fraser Timber's earnings are expected to grow significantly at over 20% yearly.
  • West Fraser Timber's revenue is expected to grow by 5.8% 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:WFC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from West Fraser Timber Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:WFC Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31 5.15 6.17 4.46 3.00
2020-12-31 3.49 4.37 2.15 3.00
2020-02-17
DB:WFC Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 -2.18
2019-09-30 -1.14
2019-06-30 2.90
2019-03-31 8.40
2018-12-31 10.88
2018-09-30 12.94
2018-06-30 11.21
2018-03-31 8.59
2017-12-31 7.63
2017-09-30 5.98
2017-06-30 5.79
2017-03-31 5.14

*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.
  • West Fraser Timber is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess West Fraser Timber'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.
West Fraser Timber has a total score of 4/6, 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.

WFC Past Performance

  How has West Fraser Timber 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 West Fraser Timber'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.
  • West Fraser Timber does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare West Fraser Timber's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare West Fraser Timber's 1-year growth to the Europe Forestry industry average as it is not currently profitable.
Earnings and Revenue History
West Fraser Timber'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 West Fraser Timber Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:WFC Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 4,877.00 -150.00 938.00
2019-09-30 5,022.00 -79.00 945.00
2019-06-30 5,478.00 204.00 972.00
2019-03-31 5,995.00 608.00 989.00
2018-12-31 6,118.00 810.00 979.00
2018-09-30 6,220.00 988.00 964.00
2018-06-30 5,821.00 870.00 920.00
2018-03-31 5,309.00 670.00 879.00
2017-12-31 5,134.00 596.00 882.00
2017-09-30 4,865.00 468.00 881.00
2017-06-30 4,773.00 455.00 878.00
2017-03-31 4,562.00 407.00 822.00
2016-12-31 4,450.00 326.00 807.00
2016-09-30 4,356.00 232.00 814.00
2016-06-30 4,245.00 181.00 741.00
2016-03-31 4,163.00 97.00 778.00
2015-12-31 4,100.00 104.00 763.00
2015-09-30 4,051.00 162.00 736.00
2015-06-30 4,037.00 176.00 791.00
2015-03-31 4,061.00 236.00 784.00
2014-12-31 3,856.00 259.00 744.00
2014-09-30 3,725.00 334.00 718.00
2014-06-30 3,573.00 319.00 702.00
2014-03-31 3,420.00 354.00 650.00
2013-12-31 3,474.00 349.00 686.00
2013-09-30 3,414.00 251.00 693.00
2013-06-30 3,308.00 248.00 673.00
2013-03-31 3,182.00 163.00 688.00

*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.
  • It is difficult to establish if West Fraser Timber has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if West Fraser Timber has efficiently used its assets last year compared to the Europe Forestry industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if West Fraser Timber improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess West Fraser Timber'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.
West Fraser Timber has a total score of 0/6, 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.

WFC Health

 How is West Fraser Timber'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 West Fraser Timber's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • West Fraser Timber is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • West Fraser Timber's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of West Fraser Timber'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 1.1x 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 West Fraser Timber Company Filings, last reported 1 month ago.

DB:WFC Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 2,474.00 1,034.00 16.00
2019-09-30 2,581.00 984.00 17.00
2019-06-30 2,621.00 910.00 16.00
2019-03-31 2,775.00 1,005.00 34.00
2018-12-31 2,896.00 753.00 160.00
2018-09-30 2,986.00 657.00 282.00
2018-06-30 3,034.00 668.00 302.00
2018-03-31 2,881.00 735.00 125.00
2017-12-31 2,726.00 636.00 258.00
2017-09-30 2,554.00 632.00 132.00
2017-06-30 2,445.00 399.00 231.00
2017-03-31 2,365.00 517.00 86.00
2016-12-31 2,241.00 413.00 50.00
2016-09-30 2,101.00 449.00 52.00
2016-06-30 2,021.00 539.00 27.00
2016-03-31 2,041.00 691.00 19.00
2015-12-31 2,147.00 601.00 13.00
2015-09-30 2,124.00 448.00 21.00
2015-06-30 2,132.00 413.00 30.00
2015-03-31 2,078.00 542.00 12.00
2014-12-31 2,029.00 457.00 21.00
2014-09-30 2,029.00 386.00 18.00
2014-06-30 1,990.00 455.00 26.00
2014-03-31 2,026.00 398.00 49.00
2013-12-31 1,947.00 328.00 162.00
2013-09-30 1,768.00 317.00 221.00
2013-06-30 1,678.00 317.00 220.00
2013-03-31 1,506.00 306.00 61.00
  • West Fraser Timber's level of debt (41.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (22.6% vs 41.8% today).
  • Debt is not well covered by operating cash flow (11.1%, less than 20% of total debt).
  • Unable to confirm if the interest payments on West Fraser Timber's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess West Fraser Timber'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. West Fraser Timber has a total score of 1/6, 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.

WFC Dividends

 What is West Fraser Timber'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
1.27%
Current annual income from West Fraser Timber dividends. Estimated to be 1.38% next year.
If you bought €2,000 of West Fraser Timber shares you are expected to receive €25 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?
  • West Fraser Timber's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.31%).
  • West Fraser Timber's dividend is below the markets top 25% of dividend payers in Germany (3.59%).
Upcoming dividend payment

Purchase West Fraser Timber before the 'Ex-dividend' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
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:WFC 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 5 Analyst Estimates (S&P Global) See Below
Europe Forestry Industry Average Dividend Yield Market Cap Weighted Average of 25 Stocks 4.2%
Germany Market Average Dividend Yield Market Cap Weighted Average of 334 Stocks 2.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.3%
Germany 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.

DB:WFC Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2024-12-31 1.05 1.00
2023-12-31 0.98 1.00
2022-12-31 0.92 1.00
2021-12-31 0.83 3.00
2020-12-31 0.81 3.00
2020-02-17
DB:WFC Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2020-02-11 0.800 1.285
2019-12-10 0.800 1.407
2019-06-11 0.800 1.481
2019-04-25 0.800 1.359
2018-12-11 0.800 1.170
2018-09-06 0.800 1.125
2018-06-12 0.600 0.693
2018-02-14 0.600 0.666
2017-12-12 0.440 0.535
2017-09-12 0.440 0.577
2017-06-12 0.280 0.445
2017-03-15 0.280 0.480
2016-12-06 0.280 0.562
2016-09-08 0.280 0.645
2016-06-14 0.280 0.678
2015-12-08 0.280 0.624
2015-09-15 0.280 0.584
2015-06-17 0.280 0.479
2014-12-09 0.280 0.425
2014-09-05 0.280 0.494
2014-06-17 0.280 0.548
2013-12-10 0.280 0.537
2013-09-10 0.280 0.609
2013-06-10 0.280 0.655
2013-02-14 0.280 0.661
2012-12-06 0.280 0.732
2012-09-11 0.280 0.922
2012-06-12 0.280 1.061
2012-02-16 0.280 1.228
2011-12-08 0.280 1.265
2011-09-14 0.280 1.348
2011-06-14 0.280 1.271
2011-02-17 0.280 1.083
2010-06-15 0.060 0.292
2010-02-12 0.060 0.301
2009-12-10 0.060 0.354
2009-09-15 0.060 0.415
2009-05-29 0.060 0.483
2009-02-19 0.280 2.203

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 increased over the past 10 years.
Current Payout to shareholders
What portion of West Fraser Timber's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (5x coverage).
X
Income/ dividend checks
We assess West Fraser Timber'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 West Fraser Timber afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. West Fraser Timber has a total score of 2/6, see the detailed checks below.


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

WFC Management

 What is the CEO of West Fraser Timber'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
Ray Ferris
COMPENSATION CA$2,972,250
AGE 55
TENURE AS CEO 0.6 years
CEO Bio

Mr. Raymond W. Ferris, also known as Ray, has been President since April 19, 2018 and Chief Executive Officer since July 1, 2019 and served as the Chief Operating Officer of West Fraser Timber Co. Ltd. since February 15, 2016 until July 2019. He served as Executive Vice President of West Fraser Timber Co. Ltd. since February 15, 2016 until April 19, 2018 and served as its Vice President of Solid Wood Products since September 2009. Mr. Ferris has been with West Fraser Timber Co. Ltd. since 1997. Mr. Ferris has extensive manufacturing experience in the forest industry. Mr. Ferris served as Vice President of Lumber Operations of West Fraser Timber Co. Ltd., until December 2008. He is Corporate Director at West Fraser Timber Co. Ltd. since April 23, 2019. Mr. Ferris holds a Bachelor of Science Degree in Engineering from the University of New Brunswick.

CEO Compensation
  • Ray's compensation has increased whilst company is loss making.
  • Ray's remuneration is about average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the West Fraser Timber management team in years:

2.7
Average Tenure
  • The tenure for the West Fraser Timber management team is about average.
Management Team

Ray Ferris

TITLE
CEO, President & Corporate Director
COMPENSATION
CA$3M
AGE
55
TENURE
0.6 yrs

Chris Virostek

TITLE
CFO & VP of Finance
COMPENSATION
CA$1M
AGE
46
TENURE
2.8 yrs

Chris McIver

TITLE
Vice-President of Sales & Marketing
COMPENSATION
CA$1M
TENURE
4 yrs

D'Arcy Henderson

TITLE
Vice-President

Tom Theodorakis

TITLE
Corporate Secretary
TENURE
2.6 yrs
Board of Directors Tenure

Average tenure and age of the West Fraser Timber board of directors in years:

3.8
Average Tenure
62
Average Age
  • The tenure for the West Fraser Timber board of directors is about average.
Board of Directors

Hank Ketcham

TITLE
Chairman
COMPENSATION
CA$450K
AGE
70
TENURE
3.8 yrs

Ray Ferris

TITLE
CEO, President & Corporate Director
COMPENSATION
CA$3M
AGE
55
TENURE
0.8 yrs

Bob Phillips

TITLE
Lead Director
COMPENSATION
CA$210K
AGE
68
TENURE
12 yrs

Reid Carter

TITLE
Independent Corporate Director
COMPENSATION
CA$162K
AGE
62
TENURE
3.8 yrs

Brian Kenning

TITLE
Independent Corporate Director
COMPENSATION
CA$155K
AGE
70
TENURE
2.8 yrs

Gerry Miller

TITLE
Independent Corporate Director
COMPENSATION
CA$155K
AGE
64
TENURE
7.8 yrs

Janice Rennie

TITLE
Independent Corporate Director
COMPENSATION
CA$158K
AGE
62
TENURE
15.8 yrs

John Ketcham

TITLE
Independent Corporate Director
COMPENSATION
CA$155K
AGE
58
TENURE
4.8 yrs

John Floren

TITLE
Independent Corporate Director
COMPENSATION
CA$160K
AGE
60
TENURE
3.8 yrs

Gill Winckler

TITLE
Independent Corporate Director
COMPENSATION
CA$155K
AGE
56
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by West Fraser Timber individual insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
29. Jan 20 Buy Brian Balkwill Individual 21. Dec 18 05. Mar 19 632 €44.11 €27,801
21. Jan 20 Buy Keith Carter Individual 09. Oct 18 10. Jan 20 68 €48.72 €2,643
15. May 19 Buy Keith Carter Individual 13. May 19 13. May 19 1,320 €39.74 €52,215
15. May 19 Buy Raymond Ferris Individual 15. May 19 15. May 19 4,500 €39.38 €175,952
11. Mar 19 Buy Keith Carter Individual 07. Mar 19 07. Mar 19 960 €42.35 €40,644
11. Mar 19 Buy Brian Balkwill Individual 05. Mar 19 11. Mar 19 1,338 €47.24 €62,909
06. Mar 19 Buy Sean McLaren Individual 06. Mar 19 06. Mar 19 1,000 €42.67 €42,669
28. Feb 19 Buy Charles Watkins Individual 28. Feb 19 28. Feb 19 1,000 €43.67 €43,607
28. Feb 19 Buy Raymond Ferris Individual 28. Feb 19 28. Feb 19 1,600 €42.79 €68,459
19. Feb 19 Buy Brian Kenning Individual 19. Feb 19 19. Feb 19 1,200 €46.80 €56,156
X
Management checks
We assess West Fraser Timber'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. West Fraser Timber 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.

WFC News

Simply Wall St News

WFC Company Info

Description

West Fraser Timber Co. Ltd. produces and sells lumber, panels, and pulp and paper in western Canada and the southern United States. The company offers spruce-pine-fir and southern yellow pine lumber, as well as newsprint, wood chips, and other residuals and energy products. It also provides treated wood, medium density fiberboard panels, laminated veneer lumber panels, and plywood; northern bleached softwood Kraft pulp used to produce various paper products, including printing and writing papers, specialty grades, and various tissue products; and bleached chemical thermo-mechanical pulp that is used to produce coated board grades, printing and writing paper, and paper towel/napkin grades, as well as specialty papers and tissue grades. The company was founded in 1955 and is based in Vancouver, Canada.

Details
Name: West Fraser Timber Co. Ltd.
WFC
Exchange: DB
Founded: 1955
CA$3,026,241,563
68,663,807
Website: http://www.westfraser.com
Address: West Fraser Timber Co. Ltd.
858 Beatty Street,
Suite 501,
Vancouver,
British Columbia, V6B 1C1,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX WFT Common Shares The Toronto Stock Exchange CA CAD 07. May 1986
OTCPK WFTB.F Common Shares Pink Sheets LLC US USD 07. May 1986
DB WFC Common Shares Deutsche Boerse AG DE EUR 07. May 1986
Number of employees
Current staff
Staff numbers
8,570
West Fraser Timber employees.
Industry
Forest Products
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/02/17 21:40
End of day share price update: 2020/02/17 00:00
Last estimates confirmation: 2020/02/13
Last earnings filing: 2020/02/11
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


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.