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Western Forest Products (TSX:WEF) Cyclically Adjusted Price-to-FCF : 4.55 (As of Jun. 08, 2024)


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What is Western Forest Products Cyclically Adjusted Price-to-FCF?

As of today (2024-06-08), Western Forest Products's current share price is C$0.50. Western Forest Products's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was C$0.11. Western Forest Products's Cyclically Adjusted Price-to-FCF for today is 4.55.

The historical rank and industry rank for Western Forest Products's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

TSX:WEF' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 4.5   Med: 13.65   Max: 140
Current: 4.67

During the past years, Western Forest Products's highest Cyclically Adjusted Price-to-FCF was 140.00. The lowest was 4.50. And the median was 13.65.

TSX:WEF's Cyclically Adjusted Price-to-FCF is ranked better than
88.98% of 127 companies
in the Forest Products industry
Industry Median: 17.1 vs TSX:WEF: 4.67

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Western Forest Products's adjusted free cash flow per share data for the three months ended in Mar. 2024 was C$-0.104. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is C$0.11 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Western Forest Products Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Western Forest Products's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Western Forest Products Cyclically Adjusted Price-to-FCF Chart

Western Forest Products Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.50 12.69 12.51 7.50 5.90

Western Forest Products Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.96 7.58 6.40 5.90 5.89

Competitive Comparison of Western Forest Products's Cyclically Adjusted Price-to-FCF

For the Lumber & Wood Production subindustry, Western Forest Products's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Western Forest Products's Cyclically Adjusted Price-to-FCF Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Western Forest Products's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Western Forest Products's Cyclically Adjusted Price-to-FCF falls into.



Western Forest Products Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Western Forest Products's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=0.50/0.11
=4.55

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Western Forest Products's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Western Forest Products's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-0.104/126.2576*126.2576
=-0.104

Current CPI (Mar. 2024) = 126.2576.

Western Forest Products Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 0.056 99.473 0.071
201409 0.029 99.394 0.037
201412 -0.022 98.367 -0.028
201503 -0.005 99.789 -0.006
201506 0.013 100.500 0.016
201509 0.053 100.421 0.067
201512 0.032 99.947 0.040
201603 0.036 101.054 0.045
201606 -0.020 102.002 -0.025
201609 0.082 101.765 0.102
201612 0.082 101.449 0.102
201703 0.147 102.634 0.181
201706 0.054 103.029 0.066
201709 0.046 103.345 0.056
201712 -0.047 103.345 -0.057
201803 0.052 105.004 0.063
201806 0.021 105.557 0.025
201809 0.049 105.636 0.059
201812 -0.065 105.399 -0.078
201903 -0.070 106.979 -0.083
201906 -0.062 107.690 -0.073
201909 0.050 107.611 0.059
201912 0.014 107.769 0.016
202003 -0.037 107.927 -0.043
202006 -0.030 108.401 -0.035
202009 0.095 108.164 0.111
202012 0.135 108.559 0.157
202103 0.110 110.298 0.126
202106 0.284 111.720 0.321
202109 0.213 112.905 0.238
202112 0.074 113.774 0.082
202203 -0.133 117.646 -0.143
202206 0.046 120.806 0.048
202209 -0.054 120.648 -0.057
202212 -0.033 120.964 -0.034
202303 -0.105 122.702 -0.108
202306 -0.015 124.203 -0.015
202309 -0.070 125.230 -0.071
202312 -0.057 125.072 -0.058
202403 -0.104 126.258 -0.104

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Western Forest Products  (TSX:WEF) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Western Forest Products Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of Western Forest Products's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Western Forest Products (TSX:WEF) Business Description

Traded in Other Exchanges
Address
1055 West Georgia Street, Suite 800, P.O. Box 11122, Royal Centre Building, Vancouver, BC, CAN, V6E 3P3
Western Forest Products Inc is a Canada-based softwood forest products company. The company's principal business activities include timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and value-added lumber remanufacturing. Its operating business segment comprises Timber harvesting, Log sales, and Lumber manufacturing and sales. The firm purchases and harvests logs which are then manufactured into lumber products at its sawmills, or sold. Canada and the United States, represent the company's large markets and contribute the vast majority of its total revenue.
Executives
Glen Douglas Nontell Senior Officer

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