Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

West Fraser Timber Co Ltd T.WFG

Alternate Symbol(s):  WFG

West Fraser Timber Co. Ltd. is a diversified wood products company. The Company is engaged in manufacturing, selling, marketing and distributing lumber, engineered wood products, including oriented strand board (OSB), laminated veneer lumber (LVL), medium-density fiberboard (MDF), plywood, particleboard, pulp, newsprint, wood chips and other residuals and renewable energy. Its products are used in home construction, repair and remodeling, industrial applications, paper, tissues, and box materials. Its segments include Lumber, North America engineered wood products (NA EWP), Pulp & Paper and Europe EWP. Its business comprises lumber mills, OSB facilities, renewable energy facilities, pulp and paper mills, plywood facilities, MDF facilities, particleboard facilities, LVL facility, treated wood facility, and veneer facility. The Company operates approximately 58 facilities in Canada, the United States, the United Kingdom and Europe. It also offers wood preservation services.


TSX:WFG - Post by User

Post by Hanalyst727on Apr 05, 2021 9:24am
161 Views
Post# 32936430

Preferred Shelf?

Preferred Shelf?
Unless WFG is planning to issue preferred shares, a shelf is just dilutive to shareholders, and conflicts directly with the notion the shares are undervalued as evidenced by the share buyback WFG is currently undertaking and the "higher for longer" bull thesis.

Their earnings and balance sheet are so strong they should only be looking at issuing debt to finance any further takeovers. Issuing long term debt and/or preferred shares to finance takeovers in an inflationary environment is exactly the right thing to do - especially since WFG is clearly capturing the leading edge of the inflation wave a'coming.

The shelf also strongly suggests they wont be paying out these fat earnings as a fat dividend. This is good as is better to get share appreciation then pay tax on dividends.



<< Previous
Bullboard Posts
Next >>