Interfor Corp T.IFP

What Gives?

[sunshine7]

Reduced supply in EU due to sanctions and conflict and now rail disruptions in West should affect supply and hence lumber price. IFP should benefit from these disruptions IMO. Meanwhile lumber price goes down?

[Eastbank]

Down all week...time for a rebound!

[Frost19]

Rising rate spooking investors. Home builders getting hammered this week. Lumber also having a pullback. 

[sunshine7]

So why is IFP getting hit harder than peers? 

[Eastbank]

Good question....down almost $6 over past 5 days and being punished more severely than peers. No rationale aside from the declining lumber futures. Analysts still supportive so far as I can tell.

[Frost19]

I think all the companies (out west particularly because floods) are suffering. WFG at 108 from 130 high, Intefor at 36 from 43 high, Canfor at 26 from 33. 

[Frost19]

It's a good buying opportunity for us and also lets companies buyback shares cheaper than they would otherwise. Nothing worse than seeing a company buyback boat loads of shares at the high point.  We all know Q1 earnings are going to be sneaky good and much better than Q1 2021. If lumber can stay around 1000 for the next 2 months, Q1+Q2 2022 > Q1+Q2 2021 or at very least be equal