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West Fraser Writes Off U.S. Lumber Goodwill and Sets 2026 Operating Targets

Story Highlights
  • West Fraser will record a $409 million non-cash goodwill impairment tied to its U.S. lumber operations amid a prolonged market downturn.
  • For 2026, the company targets stable lumber and OSB shipments with capital spending of $300–$350 million and expects input costs to remain steady.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
West Fraser Writes Off U.S. Lumber Goodwill and Sets 2026 Operating Targets

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An announcement from West Fraser Timber Co ( (TSE:WFG) ) is now available.

West Fraser Timber will take a non-cash goodwill impairment charge of about $409 million in the fourth quarter of 2025, writing off all goodwill associated with its U.S. lumber operations in response to a prolonged market downcycle, weaker species-specific pricing trends, and lower demand and pricing for wood chip residuals. At the same time, the company has set its 2026 operational outlook, targeting shipments of 2.4–2.7 billion board feet each of SPF and SYP lumber, 5.9–6.3 billion square feet of North American OSB and 1.0–1.25 billion square feet of European and U.K. OSB, while signalling stable input costs, improving contractor availability and equipment lead times, and capital expenditures of $300–$350 million, suggesting a cautious but steady investment stance despite current market headwinds.

The most recent analyst rating on (TSE:WFG) stock is a Buy with a C$85.00 price target. To see the full list of analyst forecasts on West Fraser Timber Co stock, see the TSE:WFG Stock Forecast page.

Spark’s Take on TSE:WFG Stock

According to Spark, TipRanks’ AI Analyst, TSE:WFG is a Neutral.

West Fraser Timber Co’s overall stock score is primarily impacted by its challenging financial performance and valuation concerns. The technical analysis suggests bearish momentum, while the earnings call highlights significant operational challenges. Despite a strong balance sheet, the company’s profitability and cash flow issues weigh heavily on its outlook.

To see Spark’s full report on TSE:WFG stock, click here.

More about West Fraser Timber Co

West Fraser Timber Co. is a diversified wood products manufacturer operating more than 50 facilities across Canada, the United States, the United Kingdom and Europe, with a focus on sustainable forest practices. The company produces lumber, engineered wood products such as OSB, LVL, MDF, plywood and particleboard, as well as pulp, newsprint, wood chips and other residuals, supplying home construction, repair and remodelling, industrial applications, and paper and tissue markets.

Average Trading Volume: 192,346

Technical Sentiment Signal: Sell

Current Market Cap: C$6.91B

For an in-depth examination of WFG stock, go to TipRanks’ Overview page.

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