Western Forest Products made twice as much money as Interfor in Q2
Western Forest made twice as much money and more as Interfor in Q2. Interfor has $200 million debt on the books and no dividend. Plus all their US Mills do not have timberlands attached to them and Interfor must compete on the open market for their logs. Log sellers can be a strange bunch. Just look at TimberWest? (all those trees and no lumbermills) Interfors upside maybe limited by US log sellers?. Western Forest is in a much better position imo. We should be trading around $1.85 by the first quarter of next year?. Maybe much more? if we see $350 to $400 commodity lumber prices within a stronger US housing market. The current US supply of new homes is not keeping pace with US population growth. A super cycle in lumber maybe just over the next hill...The share price today may be dictated by some type of arbitrage? is that possible? until the Dutch Auction ends Aug 12? We'll see. All imho of course.