Canfor Corp
TSX:CFP
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Signatureglobal (India) Ltd
NSE:SIGNATURE
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EV/OCF
Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.
Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.
Valuation Scenarios
If EV/OCF returns to its 3-Year Average (12.5), the stock would be worth CA$5.07 (60% downside from current price).
| Scenario | EV/OCF Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 31.2 | CA$12.67 |
0%
|
| 3-Year Average | 12.5 | CA$5.07 |
-60%
|
| 5-Year Average | 6.5 | CA$2.63 |
-79%
|
| Industry Average | 11.7 | CA$4.76 |
-62%
|
| Country Average | 11.9 | CA$4.86 |
-62%
|
Forward EV/OCF
Today’s price vs future operating cash flow
Peer Comparison
| Market Cap | EV/OCF | P/E | ||||
|---|---|---|---|---|---|---|
| CA |
|
Canfor Corp
TSX:CFP
|
1.5B CAD | 31.2 | -1.9 | |
| SE |
|
Svenska Cellulosa SCA AB
STO:SCA B
|
76.2B SEK | 22.3 | 23.9 | |
| CN |
|
Chengxin Lithium Group Co Ltd
SZSE:002240
|
43.9B CNY | 52.1 | -50.4 | |
| CA |
|
West Fraser Timber Co Ltd
TSX:WFG
|
7B CAD | 54.7 | -5.5 | |
| US |
|
Louisiana-Pacific Corp
NYSE:LPX
|
5.2B USD | 13.8 | 35.7 | |
| CA |
|
Stella-Jones Inc
TSX:SJ
|
4.5B CAD | 10.7 | 13.4 | |
| CN |
|
Zhongfu Straits Pingtan Development Co Ltd
SZSE:000592
|
21B CNY | 317.3 | -194 | |
| IN |
C
|
Century Plyboards (India) Ltd
NSE:CENTURYPLY
|
172.8B INR | 57.9 | 73.5 | |
| CN |
|
Dehua TB New Decoration Material Co Ltd
SZSE:002043
|
11.5B CNY | 7.8 | 15.8 | |
| BR |
|
Dexco SA
BOVESPA:DXCO3
|
4.9B BRL | 12.2 | 3 776.6 | |
| ZA |
Y
|
York Timber Holdings Ltd
JSE:YRK
|
882.3m ZAR | 6.4 | 2.8 |
Market Distribution
| Min | 0 |
| 30th Percentile | 7.9 |
| Median | 11.9 |
| 70th Percentile | 19.5 |
| Max | 22 577.3 |
Other Multiples
Canfor Corp
Glance View
In the lush, sprawling forests of British Columbia, Canfor Corp. has carved out a distinguished presence as a titan in the forestry products industry. Founded in 1938, this Canadian company has matured into a leading global supplier of sustainable wood products, priding itself on its commitment to high-quality lumber and pulp production. At the heart of Canfor's operations is its mastery in transforming raw timber into a myriad of formidable products, pivotal for construction, packaging, and numerous other industries. From its sawmills to its pulp and paper mills, Canfor employs state-of-the-art technology to ensure efficiency and environmental stewardship. As a result, it sits at the crossroads of tradition and innovation, leveraging its expertise to cater to the ever-evolving demands of global markets. Canfor’s financial prosperity is deeply entwined with its robust international footprint and strategic operations across the US, Canada, and Europe. The company derives its revenue primarily from the sale of softwood lumber, a sought-after material for residential, commercial, and industrial construction. Additionally, its diversified product portfolio extends to the production of high-value specialty papers and bleached kraft pulp, which further cement its competitive edge. This diversification acts as a buffer against market volatility, providing the company with a stable revenue stream even amid changing economic conditions. With a firm focus on sustainability, Canfor positions itself not only as a leader in the timber industry but also as an advocate of eco-friendly business practices, influencing both industry standards and consumer preferences worldwide.