JELD-WEN (NYSE:JELD) versus West Fraser Timber (NYSE:WFG) Head-To-Head Contrast

West Fraser Timber (NYSE:WFG) and JELD-WEN (NYSE:JELD) are both construction companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, analyst recommendations, earnings, valuation, dividends and institutional ownership.

Institutional & Insider Ownership

40.2% of West Fraser Timber shares are held by institutional investors. Comparatively, 95.0% of JELD-WEN shares are held by institutional investors. 1.8% of West Fraser Timber shares are held by company insiders. Comparatively, 1.2% of JELD-WEN shares are held by company 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 summary of current ratings and target prices for West Fraser Timber and JELD-WEN, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
West Fraser Timber	0	0	5	0	3.00
JELD-WEN	1	7	0	0	1.88

West Fraser Timber currently has a consensus target price of $100.40, suggesting a potential upside of 35.60%. JELD-WEN has a consensus target price of $7.34, suggesting a potential upside of 74.85%. Given JELD-WEN’s higher possible upside, analysts plainly believe JELD-WEN is more favorable than West Fraser Timber.

Volatility and Risk

West Fraser Timber has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, JELD-WEN has a beta of 1.69, suggesting that its share price is 69% more volatile than the S&P 500.

Profitability

This table compares West Fraser Timber and JELD-WEN’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
West Fraser Timber	0.03%	0.99%	0.78%
JELD-WEN	-9.49%	3.70%	0.88%

Valuation & Earnings

This table compares West Fraser Timber and JELD-WEN”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
West Fraser Timber	$6.17 billion	0.92	-$5.00 million	($0.17)	-435.53
JELD-WEN	$3.78 billion	0.09	-$189.02 million	($4.03)	-1.04

West Fraser Timber has higher revenue and earnings than JELD-WEN. West Fraser Timber is trading at a lower price-to-earnings ratio than JELD-WEN, indicating that it is currently the more affordable of the two stocks.

Summary

West Fraser Timber beats JELD-WEN on 8 of the 14 factors compared between the two stocks.

About West Fraser Timber

West Fraser Timber Co. Ltd., a diversified wood products company, engages in manufacturing, selling, marketing, and distributing lumber, engineered wood products, pulp, newsprint, wood chips, and other residuals and renewable energy. It offers spruce-pine-fir, douglas fir-larch, hem-fir, and southern yellow pine lumber, treated wood products, medium density fiberboard panels and plywood, oriented strand board, and laminated veneer lumber wood products, as well as particleboards. The company also provides northern bleached softwood Kraft pulp and bleached chemical thermo-mechanical pulp used to produce various paper products, including printing and writing papers, paperboard products, tissue and towel products, and a variety of other paper grades. Further, it offers bioproducts, including bioenergy and biomaterial. Its products are used in home construction, repair and remodeling, papers, tissue, and box materials, and industrial applications. The company sells its products to major retail chains, contractor supply yards, and wholesalers, as well as industrial customers for further processing or as components for other products in Canada, the United States, the United Kingdom, Europe, and internationally. West Fraser Timber Co. Ltd. was founded in 1955 and is headquartered in Vancouver, Canada.

About JELD-WEN

JELD-WEN Holding, Inc. designs, manufactures, and sells wood, metal, and composite materials doors, windows, and related building products in North America and Europe. The company offers a line of residential interior and exterior door products, including patio doors, and folding or sliding wall systems; non-residential doors; stile and rail doors; and wood, vinyl, and wood composite windows. It also provides other ancillary products and services, such as trim boards, glasses, hardware and locks, window screens, and molded door skins, as well as miscellaneous installation and other services. The company sells its products under the JELD-WEN, AuraLast, MiraTEC, Extira, LaCANTINA, MMI Door, Karona, ImpactGard, JW, Aurora, IWP, True BLU, ABS, Siteline, National Door, Low-Friction Glider, Hydrolock, VPI, AURALINE, FINISHIELD, MILLENNIUM, TRUFIT, EPICVUE, EVELIN, Swedoor, Dooria, DANA, Mattiovi, Zargag, Alupan, Domoferm, Kellpax, and HSE brands. It serves wholesale distributors and retailers, retail home centers, and building product dealers, as well as homebuilders, contractors, and consumers. JELD-WEN Holding, Inc. was founded in 1960 and is based in Charlotte, North Carolina.