Canfor Pulp Products, Inc. (CFX) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

WestBond Enterprises Corp.

Supremex, Inc.

Canfor Pulp Products, Inc.

Why is Canfor Pulp Products, Inc. ?

Poor long term growth as Net Sales has grown by an annual rate of -5.91% and Operating profit at 16.73% over the last 5 years

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -57.14%, its profits have risen by 210.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -57.14% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Canfor Pulp Products, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Canfor Pulp Products, Inc.

-22.73%

-1.07

68.13%

S&P/TSX 60

23.72%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-7.28%

EBIT Growth (5y)

6.13%

EBIT to Interest (avg)

-5.09

Debt to EBITDA (avg)

1.59

Net Debt to Equity (avg)

0.40

Sales to Capital Employed (avg)

2.70

Tax Ratio

26.94%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.10%

ROCE (avg)

1.33%

ROE (avg)

7.88%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.04

EV to EBIT

-3.29

EV to EBITDA

-55.41

EV to Capital Employed

1.01

EV to Sales

0.20

PEG Ratio

Dividend Yield

ROCE (Latest)

-30.69%

ROE (Latest)

-284.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

No Trend

Mildly Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

ROCE(HY)

Highest at -6.02%

DEBTORS TURNOVER RATIO(HY)

Highest at 19.33 times

-23What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 2.6 MM

RAW MATERIAL COST(Y)

Grown by 340.3% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 54.89 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 4.72 times

OPERATING PROFIT(Q)

Lowest at CAD -7.2 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -4.37 %

PRE-TAX PROFIT(Q)

Lowest at CAD -17.1 MM

NET PROFIT(Q)

Lowest at CAD -12.4 MM

Here's what is working for Canfor Pulp Products, Inc.

Debtors Turnover Ratio

Highest at 19.33 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Canfor Pulp Products, Inc.

Pre-Tax Profit

At CAD -17.1 MM has Fallen at -13,780%

over average net sales of the previous four periods of CAD 0.12 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (CAD MM)

Net Profit

At CAD -12.4 MM has Fallen at -186.87%

over average net sales of the previous four periods of CAD 14.27 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Operating Cash Flow

Lowest at CAD 2.6 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)

Operating Profit

Lowest at CAD -7.2 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CAD MM)

Operating Profit Margin

Lowest at -4.37 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at CAD -17.1 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (CAD MM)

Net Profit

Lowest at CAD -12.4 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (CAD MM)

Debt-Equity Ratio

Highest at 54.89 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 4.72 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 340.3% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales