Louisiana-Pacific (NYSE:LPX) Reaches New 1-Year Low – Here’s Why

Louisiana-Pacific Corporation (NYSE:LPX) reached a new 52-week low during trading on Thursday . The company traded as low as $73.15 and last traded at $73.27, with a volume of 72405 shares trading hands. The stock had previously closed at $75.16.

Analysts Set New Price Targets

A number of research firms have issued reports on LPX. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $104.00 price objective on shares of Louisiana-Pacific in a report on Wednesday, February 18th. Zacks Research lowered shares of Louisiana-Pacific from a “hold” rating to a “strong sell” rating in a research report on Thursday, March 5th. Oppenheimer restated an “outperform” rating on shares of Louisiana-Pacific in a report on Tuesday, March 3rd. Truist Financial upped their price objective on shares of Louisiana-Pacific from $102.00 to $108.00 and gave the stock a “buy” rating in a research report on Tuesday, January 6th. Finally, Barclays increased their price objective on shares of Louisiana-Pacific from $100.00 to $108.00 and gave the company an “overweight” rating in a research note on Thursday, January 15th. Seven research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $105.83.

Louisiana-Pacific Stock Down 2.9%

The company’s fifty day simple moving average is $86.24 and its 200 day simple moving average is $86.08. The company has a current ratio of 2.78, a quick ratio of 1.53 and a debt-to-equity ratio of 0.20. The firm has a market capitalization of $4.90 billion, a P/E ratio of 33.55 and a beta of 1.78.

Louisiana-Pacific (NYSE:LPX) last announced its earnings results on Tuesday, February 17th. The building manufacturing company reported $0.03 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.09. Louisiana-Pacific had a net margin of 5.39% and a return on equity of 10.72%. The firm had revenue of $567.00 million for the quarter, compared to analyst estimates of $589.96 million. During the same quarter in the previous year, the firm posted $1.03 EPS. The company’s revenue for the quarter was down 16.7% compared to the same quarter last year. Research analysts expect that Louisiana-Pacific Corporation will post 5.27 EPS for the current year.

Louisiana-Pacific Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 13th. Shareholders of record on Friday, February 27th were given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend was Friday, February 27th. This is a positive change from Louisiana-Pacific’s previous quarterly dividend of $0.28. Louisiana-Pacific’s payout ratio is presently 53.59%.

Insiders Place Their Bets

In other news, CEO William Bradley Southern sold 55,346 shares of the stock in a transaction that occurred on Wednesday, January 14th. The stock was sold at an average price of $91.66, for a total value of $5,073,014.36. Following the completion of the transaction, the chief executive officer owned 503,381 shares of the company’s stock, valued at approximately $46,139,902.46. This represents a 9.91% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Lizanne M. Bruce sold 1,300 shares of the firm’s stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $78.59, for a total value of $102,167.00. Following the completion of the transaction, the director owned 17,160 shares of the company’s stock, valued at approximately $1,348,604.40. The trade was a 7.04% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 113,310 shares of company stock worth $10,235,781. Company insiders own 1.42% of the company’s stock.

Hedge Funds Weigh In On Louisiana-Pacific

Several institutional investors and hedge funds have recently added to or reduced their stakes in LPX. Versant Capital Management Inc increased its stake in shares of Louisiana-Pacific by 34.3% in the 3rd quarter. Versant Capital Management Inc now owns 497 shares of the building manufacturing company’s stock worth $44,000 after acquiring an additional 127 shares in the last quarter. Wilmington Savings Fund Society FSB boosted its stake in Louisiana-Pacific by 4.5% during the third quarter. Wilmington Savings Fund Society FSB now owns 3,139 shares of the building manufacturing company’s stock worth $279,000 after acquiring an additional 136 shares in the last quarter. Elo Mutual Pension Insurance Co grew its holdings in Louisiana-Pacific by 1.5% in the third quarter. Elo Mutual Pension Insurance Co now owns 11,524 shares of the building manufacturing company’s stock worth $1,024,000 after purchasing an additional 166 shares during the period. WINTON GROUP Ltd grew its holdings in Louisiana-Pacific by 2.7% in the third quarter. WINTON GROUP Ltd now owns 6,877 shares of the building manufacturing company’s stock worth $611,000 after purchasing an additional 183 shares during the period. Finally, Louisiana State Employees Retirement System increased its stake in shares of Louisiana-Pacific by 1.1% during the third quarter. Louisiana State Employees Retirement System now owns 17,600 shares of the building manufacturing company’s stock valued at $1,564,000 after purchasing an additional 200 shares in the last quarter. Hedge funds and other institutional investors own 94.73% of the company’s stock.

Louisiana-Pacific Company Profile

Louisiana-Pacific Corporation (NYSE: LPX) is a leading manufacturer of building materials and engineered wood products for residential, industrial and light commercial construction. The company produces a diverse portfolio of products, including oriented strand board (OSB), engineered wood siding, trim, molding, sheathing panels and subflooring. Its flagship product lines, such as LP® SmartSide® trim and siding, are designed to offer enhanced durability, moisture resistance and ease of installation, helping builders and homeowners achieve long-lasting performance in a variety of climates.

Founded in 1973 as a spin-off from Georgia-Pacific, Louisiana-Pacific established its reputation by pioneering innovative manufacturing techniques for OSB, becoming one of the first companies to bring the product to market in the 1980s.