Louisiana-Pacific Corporation (NYSE:LPX) shares traded lower over the last trading session, losing -0.81% on 06/03/21. The shares fell to a low of $63.83 before closing at $64.94. Intraday shares traded counted 2.0 million, which was -3.29% lower than its 30-day average trading volume of 1.94M. LPX’s previous close was $65.47 while the outstanding shares total 106.00M. The firm has a beta of 1.89, a 12-month trailing P/E ratio of 9.01, and a growth ratio of 1.80. The stock’s Relative Strength Index (RSI) is 47.30, with weekly volatility at 3.35% and ATR at 2.90. The LPX stock’s 52-week price range has touched low of $21.84 and a $76.35 high.
Investors have identified the Building Products & Equipment company Louisiana-Pacific Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $6.72 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Louisiana-Pacific Corporation (LPX) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 1.23 billion total, with 360.0 million as their total liabilities.
LPX were able to record 280.0 million as free cash flow during the 08/10/2021 quarter of the year, this saw their quarterly net cash flow reduce by 122.0 million. In cash movements, the company had a total of 314.0 million as operating cash flow.
Potential earnings growth for Louisiana-Pacific Corporation (LPX)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 08/10/2021 quarter of the year, Louisiana-Pacific Corporation recorded a total of 1.02 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 42.48% coming in sequential stages and their sales for the 08/10/2021 quarter increasing by 15.44%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 538.0 million trying to sell their products during the last quarter, with the result yielding a gross income of 479.0 million. This allows shareholders to hold on to 106.00M with the recently reported earning now reading 3.02 cents per share. This is a figure that compared to analyst’s prediction for their 08/10/2021 (3.01 cents a share).
Having a look at the company’s valuation, the company is expected to record 6.03 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on LPX sounds very interesting.
Is the stock of LPX attractive?
In related news, Director, Gottung Lizanne C sold 8,139 shares of the company’s stock in a transaction that recorded on May 28. The sale was performed at an average price of 67.34, for a total value of 548,080. As the sale deal closes, the Director, Gottung Lizanne C now sold 5,000 shares of the company’s stock, valued at 250,000. Also, SVP Sales and Marketing, Sims Michael sold 12,824 shares of the company’s stock in a deal that was recorded on Feb 25. The shares were price at an average price of 48.50 per share, with a total market value of 621,964. Following this completion of acquisition, the Principal Accounting Officer, Doyle Derek Nelson now holds 99 shares of the company’s stock, valued at 4,722. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.90%.
5 out of 11 analysts covering the stock have rated it a Buy, while 4 have maintained a Hold recommendation on Louisiana-Pacific Corporation. 1 analysts has assigned a Sell rating on the LPX stock. The 12-month mean consensus price target for the company’s shares has been set at $81.00.