West Fraser Timber (NYSE:WFG) Shares Gap Up After Better-Than-Expected Earnings

West Fraser Timber Co. Ltd. (NYSE:WFG) gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $78.61, but opened at $82.05. West Fraser Timber shares last traded at $79.89, with a volume of 51,214 shares.

The company reported $0.42 EPS for the quarter, topping the consensus estimate of ($0.06) by $0.48. West Fraser Timber had a negative net margin of 2.59% and a positive return on equity of 1.29%. The firm had revenue of $1.63 billion during the quarter, compared to analyst estimates of $1.47 billion. During the same quarter in the prior year, the business posted ($0.52) earnings per share. West Fraser Timber’s revenue for the quarter was up .0% compared to the same quarter last year.

West Fraser Timber Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, April 4th. Stockholders of record on Friday, March 15th were paid a $0.30 dividend. The ex-dividend date of this dividend was Thursday, March 14th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.49%. West Fraser Timber’s dividend payout ratio (DPR) is presently -27.91%.

Analysts Set New Price Targets

A number of brokerages have recently weighed in on WFG. TD Securities boosted their price target on West Fraser Timber from $115.00 to $118.00 and gave the company a “buy” rating in a report on Tuesday, April 16th. Royal Bank of Canada reiterated an “outperform” rating and issued a $97.00 target price on shares of West Fraser Timber in a research note on Thursday, March 28th. Scotiabank set a $100.00 price target on West Fraser Timber and gave the company an “outperform” rating in a report on Monday, January 22nd. Finally, Raymond James lifted their target price on West Fraser Timber from $100.00 to $105.00 and gave the company a “strong-buy” rating in a research note on Tuesday, February 6th. Five investment analysts have rated the stock with a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Buy” and an average target price of $106.25.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in WFG. Zurcher Kantonalbank Zurich Cantonalbank lifted its stake in shares of West Fraser Timber by 1.4% in the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 25,614 shares of the company’s stock worth $1,868,000 after buying an additional 347 shares during the last quarter. Raymond James & Associates grew its holdings in West Fraser Timber by 5.7% in the 3rd quarter. Raymond James & Associates now owns 7,152 shares of the company’s stock valued at $519,000 after buying an additional 385 shares during the last quarter. Bank of Nova Scotia Trust Co. increased its position in West Fraser Timber by 16.3% in the 3rd quarter. Bank of Nova Scotia Trust Co. now owns 3,248 shares of the company’s stock worth $236,000 after buying an additional 455 shares during the period. Maryland State Retirement & Pension System grew its stake in shares of West Fraser Timber by 1.4% in the first quarter. Maryland State Retirement & Pension System now owns 36,053 shares of the company’s stock worth $3,116,000 after acquiring an additional 487 shares during the last quarter. Finally, Mraz Amerine & Associates Inc. increased its position in West Fraser Timber by 6.2% during the third quarter. Mraz Amerine & Associates Inc. now owns 8,361 shares of the company’s stock worth $607,000 after acquiring an additional 490 shares during the period. 40.23% of the stock is owned by hedge funds and other institutional investors.

West Fraser Timber Trading Up 2.3 %

The business’s fifty day simple moving average is $81.46 and its two-hundred day simple moving average is $78.70. The company has a current ratio of 2.26, a quick ratio of 1.45 and a debt-to-equity ratio of 0.03. The stock has a market capitalization of $6.39 billion, a P/E ratio of -37.73 and a beta of 1.15.

West Fraser Timber Company Profile

West Fraser Timber Co Ltd., a diversified wood products company, engages in manufacturing, selling, marketing, and distributing lumber, engineered wood products, pulp, newsprint, wood chips, and other residuals and renewable energy. It offers spruce-pine-fir, douglas fir-larch, hem-fir, and southern yellow pine lumber, treated wood products, medium density fiberboard panels and plywood, oriented strand board, and laminated veneer lumber wood products, as well as particleboards.