Topic: How To Invest

Hi, Pat: I was just wondering if I could get your thoughts on Western Forest Products. Thanks.

Article Excerpt

Western Forest Products, $1.81, symbol WEF on Toronto (Shares outstanding: 394.8 million; Market cap: $746.2 million; www.westernforest.com), is the largest woodland manager and lumber producer on the B.C. coast. The company has an annual available harvest of 6.4 million cubic metres of timber, of which 6.2 million comes from Crown lands. It can also process more than 1.1 billion board feet of lumber at seven sawmills and two remanufacturing plants. Western’s main activities include timber harvesting, reforestation and sawmilling logs into lumber and by-products (such as wood chips). Its products are sold in more than 25 countries. In the three months ended December 31, 2014, Western’s revenue declined 3.9%, to $232.6 million from $242.0 million a year earlier. Earnings per share fell sharply, to $0.03 from $0.13. U.S. lumber demand is holding steady on gradually improving home construction and continued strength in renovation markets. That’s offsetting lower Japanese demand…