GURUFOCUS.COM » STOCK LIST » Basic Materials » Forest Products » West Fraser Timber Co.Ltd (TSX:WFG) » Definitions » Cyclically Adjusted Price-to-FCF

West Fraser Timber Co.Ltd (TSX:WFG) Cyclically Adjusted Price-to-FCF : 11.45 (As of May. 21, 2024)


View and export this data going back to 1986. Start your Free Trial

What is West Fraser Timber Co.Ltd Cyclically Adjusted Price-to-FCF?

As of today (2024-05-21), West Fraser Timber Co.Ltd's current share price is C$110.62. West Fraser Timber Co.Ltd's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was C$9.66. West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF for today is 11.45.

The historical rank and industry rank for West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

TSX:WFG' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 9.44   Med: 29.76   Max: 97.35
Current: 11.45

During the past years, West Fraser Timber Co.Ltd's highest Cyclically Adjusted Price-to-FCF was 97.35. The lowest was 9.44. And the median was 29.76.

TSX:WFG's Cyclically Adjusted Price-to-FCF is ranked better than
66.93% of 127 companies
in the Forest Products industry
Industry Median: 16.92 vs TSX:WFG: 11.45

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.

West Fraser Timber Co.Ltd's adjusted free cash flow per share data for the three months ended in Mar. 2024 was C$-2.701. 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$9.66 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


West Fraser Timber Co.Ltd Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for West Fraser Timber Co.Ltd'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.

West Fraser Timber Co.Ltd Cyclically Adjusted Price-to-FCF Chart

West Fraser Timber Co.Ltd 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 26.29 25.59 17.90 10.43 11.76

West Fraser Timber Co.Ltd 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 10.60 12.36 10.25 11.76 12.11

Competitive Comparison of West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF

For the Lumber & Wood Production subindustry, West Fraser Timber Co.Ltd'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.


West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF falls into.



West Fraser Timber Co.Ltd 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.

West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=110.62/9.66
=11.45

* 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.

West Fraser Timber Co.Ltd's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, West Fraser Timber Co.Ltd'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)
=-2.701/126.2576*126.2576
=-2.701

Current CPI (Mar. 2024) = 126.2576.

West Fraser Timber Co.Ltd Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 1.345 99.473 1.707
201409 1.498 99.394 1.903
201412 -0.614 98.367 -0.788
201503 -0.269 99.789 -0.340
201506 1.702 100.500 2.138
201509 0.446 100.421 0.561
201512 -0.998 99.947 -1.261
201603 -0.881 101.054 -1.101
201606 2.733 102.002 3.383
201609 2.153 101.765 2.671
201612 1.048 101.449 1.304
201703 -1.144 102.634 -1.407
201706 3.986 103.029 4.885
201709 2.569 103.345 3.139
201712 1.769 103.345 2.161
201803 -2.052 105.004 -2.467
201806 6.276 105.557 7.507
201809 3.927 105.636 4.694
201812 -1.494 105.399 -1.790
201903 -4.819 106.979 -5.687
201906 1.538 107.690 1.803
201909 -0.247 107.611 -0.290
201912 -0.737 107.769 -0.863
202003 -2.760 107.927 -3.229
202006 5.421 108.401 6.314
202009 8.018 108.164 9.359
202012 4.289 108.559 4.988
202103 5.255 110.298 6.015
202106 18.333 111.720 20.719
202109 9.337 112.905 10.441
202112 -1.334 113.774 -1.480
202203 5.635 117.646 6.048
202206 12.505 120.806 13.069
202209 4.420 120.648 4.626
202212 -0.032 120.964 -0.033
202303 -4.845 122.702 -4.985
202306 2.640 124.203 2.684
202309 3.875 125.230 3.907
202312 -0.996 125.072 -1.005
202403 -2.701 126.258 -2.701

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.


West Fraser Timber Co.Ltd  (TSX:WFG) 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.


West Fraser Timber Co.Ltd Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of West Fraser Timber Co.Ltd's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


West Fraser Timber Co.Ltd (TSX:WFG) Business Description

Traded in Other Exchanges
Address
c/o West Fraser Group, 858 Beatty Street, Vancouver, BC, CAN, V6B 1C1
West Fraser Timber is a softwood lumber company that also produces wood panels and pulp products. The company produces its wood products globally, with lumber mills in British Columbia, Alberta, Europe, and the southeastern United States. Following its acquisition of Norbord in 2021, West Fraser is now one of the largest oriented strand board, or OSB, producers in the world.
Executives
Christopher Virostek Senior Officer
Eric Butler Director

West Fraser Timber Co.Ltd (TSX:WFG) Headlines

From GuruFocus

WEST FRASER ANNOUNCES FOURTH QUARTER 2022 RESULTS

By PRNewswire PRNewswire 02-14-2023

WEST FRASER ANNOUNCES INDEFINITE CURTAILMENT OF PERRY SAWMILL

By PRNewswire PRNewswire 01-10-2023

WEST FRASER DECLARES DIVIDEND

By PRNewswire PRNewswire 12-06-2022

NOTICE OF FOURTH QUARTER RESULTS CONFERENCE CALL

By PRNewswire PRNewswire 01-24-2023