UFP Industries, Inc. (UFPI) vs West Fraser Timber Co. Ltd. (WFG)

UFP Industries, Inc. and West Fraser Timber Co. Ltd. are both Lumber & Wood Production companies. West Fraser Timber Co. Ltd. is the larger, with a market value of $5.5B against $4.4B — 1.3× the size. West Fraser Timber Co. Ltd. has negative trailing earnings, so its P/E is not meaningful; UFP Industries, Inc. trades at 18.2×. UFP Industries, Inc. grew revenue faster over the last twelve months: −4.72% against −10.2%. UFP Industries, Inc. has the higher net margin (3.84% vs −23.0%) and the higher return on invested capital (7.46% vs −15.9%). Both pay a dividend; West Fraser Timber Co. Ltd. yields more (1.55% vs 0.94%). Across the 20 metrics below, UFP Industries, Inc. leads on 16 and West Fraser Timber Co. Ltd. on 4.

Valuation

Metric UFPI WFG Lumber & Wood Production median
P/E 18.19 n/m —
P/S 0.69 1.07 0.69
P/B 1.40 1.01 1.37
Price to free cash flow 13.95 n/m —
EV/EBITDA 8.01 n/m —
EV/Sales 0.62 1.12 0.62
Earnings yield 5.50% (21.44%) 3.82%
Free cash flow yield 7.17% (8.20%) 5.26%

Profitability

Metric UFPI WFG Lumber & Wood Production median
Gross margin 16.13% 7.01% 16.13%
Operating margin 5.07% (28.46%) 2.48%
Net margin 3.84% (22.98%) 1.64%
Free cash flow margin 4.92% (8.78%) 2.28%
Return on equity 7.68% (19.32%) 2.53%
Return on assets 5.83% (14.86%) 1.55%
Return on invested capital 7.46% (15.94%) 2.26%

Growth

Metric UFPI WFG Lumber & Wood Production median
Revenue growth (TTM) (4.72%) (10.18%) (4.72%)
EPS growth (last fiscal year) (26.14%) (17,157.14%) —
Revenue growth, 5-year CAGR 4.16% 4.55% 3.68%
Net income growth, 5-year CAGR 3.41% 0.00% 0.00%

Health

Metric UFPI WFG Lumber & Wood Production median
Debt to equity 0.08 0.06 0.12
Current ratio 3.98 2.06 3.00
Net debt to EBITDA (1.39) (0.15) (0.35)

Dividend

Metric UFPI WFG Lumber & Wood Production median
Dividend yield 0.94% 1.55% —
Payout ratio 0.11 1.36 0.11

Size

Metric UFPI WFG Lumber & Wood Production median
Market cap 4.35b 5.54b 3.51b

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