Clearwater Paper (NYSE:CLW – Get Free Report) and Western Forest Products (OTCMKTS:WFSTF – Get Free Report) are both materials companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, dividends, valuation, profitability and analyst recommendations.
Insider and Institutional Ownership
90.0% of Clearwater Paper shares are held by institutional investors. Comparatively, 75.3% of Western Forest Products shares are held by institutional investors. 2.4% of Clearwater Paper shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of recent ratings and target prices for Clearwater Paper and Western Forest Products, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Clearwater Paper | 1 | 5 | 2 | 0 | 2.12 |
| Western Forest Products | 0 | 4 | 0 | 0 | 2.00 |
Profitability
This table compares Clearwater Paper and Western Forest Products’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Clearwater Paper | -3.24% | -7.95% | -4.06% |
| Western Forest Products | N/A | N/A | N/A |
Earnings and Valuation
This table compares Clearwater Paper and Western Forest Products”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Clearwater Paper | $1.56 billion | 0.21 | -$18.60 million | ($3.04) | -6.72 |
| Western Forest Products | N/A | N/A | N/A | $0.26 | 50.80 |
Western Forest Products has lower revenue, but higher earnings than Clearwater Paper. Clearwater Paper is trading at a lower price-to-earnings ratio than Western Forest Products, indicating that it is currently the more affordable of the two stocks.
Summary
Clearwater Paper beats Western Forest Products on 6 of the 11 factors compared between the two stocks.
About Clearwater Paper
Clearwater Paper Corporation manufactures and supplies bleached paperboards, and consumer and parent roll tissues in the United States and internationally. It operates through Pulp and Paperboard, and Consumer Products segments. The Pulp and Paperboard segment manufactures and markets bleached paperboard; Solid Bleached Sulfate paperboard that is used to produce folding cartons, liquid packaging, cups and plates, blister and carded packaging, and top sheet and commercial printing items; and hardwood and softwood pulp, as well as offers services that include custom sheeting, slitting, and cutting. It sells its products to carton converters, folding carton converters, merchants, and commercial printers. The Consumer Products segment provides a line of at-home tissue products, including bath tissues, paper towels, facial tissues, and napkins; recycled fiber value grade products; and away-from-home tissues. This segment sells its products to retailers, including grocery, club, mass merchants, and discount stores. The company was incorporated in 2005 and is based in Spokane, Washington.
About Western Forest Products
Western Forest Products Inc. operates as an integrated softwoods forest products company in Canada, the United States, Japan, China, Europe, and internationally. It is involved in timber harvesting, sawmilling logs into specialty lumber, value-added lumber and glulam remanufacturing, and wholesaling purchased lumber. The company also provides door and window; outdoor structure; and fencing products. Its products have applications in outdoor living, exterior appearance, interior living, industrial, and structural applications. Western Forest Products Inc. was founded in 1955 and is headquartered in Vancouver, Canada.
Receive News & Ratings for Clearwater Paper Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Clearwater Paper and related companies with MarketBeat.com's FREE daily email newsletter.
