West Fraser Timber Co. Ltd. (WFG.TO) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-61.8%

CA$35.26

vs CA$92.35 price

Levered DCF

CA$35.96

After debt service

Piotroski score

3 / 9

Weak

Altman Z-score

2.9

Grey zone

Rating

C+

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	-7.07×	-2,015.37×	-56.68×	4.6×	4.5×	9.58×	-26.28×	7.83×
P/B	1.13×	1.45×	1.32×	1.19×	1.73×	2.27×	2.12×	2.36×
P/S	1.21×	1.19×	1.46×	0.94×	1.26×	1.29×	1.08×	1.04×
EV / EBITDA	-11.12×	15.41×	16.96×	2.65×	2.7×	5.55×	50.26×	4.97×
Gross margin	23.4%	7.7%	27.4%	47.0%	55.8%	41.5%	25.1%	40.9%
Operating margin	-21.7%	2.9%	-4.4%	26.4%	37.5%	19.0%	-3.3%	17.5%
Net margin	-17.2%	-0.1%	-2.6%	20.4%	28.0%	13.4%	-3.1%	13.2%
Current ratio	2.13×	1.97×	2.26×	3.47×	2.67×	2.53×	1.37×	2.26×
Debt / equity	0.06×	0.03×	0.07×	0.07×	0.07×	0.21×	0.42×	0.26×
Interest coverage	-62.47×	10.02×	-11.62×	110.89×	82.9×	24.59×	-3.61×	33.98×
Dividend yield	1.5%	1.0%	1.1%	1.0%	0.6%	0.8%	1.0%	0.5%
Payout ratio	-10.8%	-1403.7%	-61.0%	4.8%	2.5%	7.4%	-36.7%	4.2%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	-16.0%	-0.1%	-2.3%	25.9%	38.5%	23.7%	-6.1%	30.1%
Return on invested capital	-13.6%	-0.4%	-2.4%	21.2%	32.3%	16.9%	-2.6%	20.5%
Return on assets	-12.3%	-0.1%	-1.8%	19.8%	28.3%	14.1%	-3.2%	18.2%
Free cash flow yield	-4.7%	1.8%	0.8%	18.2%	21.5%	14.1%	-6.4%	7.4%
Earnings yield	-14.1%	-0.1%	-1.8%	21.7%	22.2%	10.4%	-2.9%	12.8%
Enterprise value	CA$6.8B	CA$9.7B	CA$9.1B	CA$8.5B	CA$12.1B	CA$5.7B	CA$4.7B	CA$5.5B
Net debt / EBITDA	-0.22×	-0.66×	-0.67×	-0.2×	-0.23×	0.05×	8.23×	0.4×
Cash conversion cycle (days)	59	34	56	66	70	75	78	71