Louisiana-Pacific Corporation (LPX): Price and Financial Metrics

LPX Stock Price Chart Interactive Chart >

LPX Price/Volume Stats

Louisiana-Pacific Corporation (LPX) Company Bio

Louisiana-Pacific Corporation is a manufacturer of engineered wood building materials including OSB, structural framing products, and exterior siding for use in residential, industrial and light commercial construction. The company was founded in 1972 and is based in Nashville, Tennessee.

LPX Price Forecast Based on DCF Valuation

Below please find a table outlining a discounted cash flow forecast for LPX, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Louisiana-Pacific Corp ranked in the 98th percentile in terms of potential gain offered. As the table below shows, the model suggests the stock is dramatically undervalued -- investors should note, though, that such returns are always unlikely and not to be expected. In terms of the factors that were most noteworthy in this DCF analysis for LPX, they are:

• The compound growth rate in the free cash flow of Louisiana-Pacific Corp over the past 4.55 years is 1.96%; that's better than 97.37% of cash flow producing equities in the Basic Materials sector, where it is classified.
• The business' balance sheet suggests that 5% of the company's capital is sourced from debt; this is greater than merely 18.12% of the free cash flow producing stocks we're observing.
• LPX's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 42.67% of tickers in our DCF set.

Want more companies with a valuation profile/forecast similar to that of Louisiana-Pacific Corp? See MMX, TMST, BTG, CLW, and VEDL.