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Louisiana-Pacific Corp. (LPX)
NYSE:LPX
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Louisiana-Pacific (LPX) AI Stock Analysis

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LPX

Louisiana-Pacific

(NYSE:LPX)

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Neutral 65 (OpenAI - 4o)
Rating:65Neutral
Price Target:
$84.00
▲(2.36% Upside)
Louisiana-Pacific's overall stock score reflects strong financial performance and strategic growth in the Siding segment, offset by weak technical indicators and challenges in the OSB market. The company's valuation is moderate, and while the earnings call provided some positive guidance, market conditions remain challenging.
Positive Factors
Siding Segment Growth
The growth in the Siding segment, driven by pricing and product mix, indicates strong demand and competitive positioning, supporting long-term revenue stability.
Operational Efficiency
Improved equipment effectiveness in OSB operations suggests enhanced operational efficiency, which can lead to cost savings and better profit margins over time.
Financial Stability
A strong equity position and low leverage indicate financial stability, providing the company with flexibility to invest in growth opportunities and weather economic downturns.
Negative Factors
OSB Market Challenges
Persistent low OSB prices due to weak demand can pressure margins and profitability, posing a challenge to the company's revenue and earnings stability.
Revenue Volatility
A decline in total sales highlights revenue volatility, which can impact financial predictability and investor confidence, especially if trends persist.
South American Market Struggles
Economic struggles in South America may hinder growth and profitability in this region, affecting the company's overall international expansion efforts.

Louisiana-Pacific (LPX) vs. SPDR S&P 500 ETF (SPY)

Louisiana-Pacific Business Overview & Revenue Model

Company DescriptionLouisiana-Pacific Corporation, together with its subsidiaries, manufactures and markets building products primarily for use in new home construction, repair and remodeling, and outdoor structure markets. It operates through four segments: Siding; Oriented Strand Board (OSB); Engineered Wood Products (EWP); and South America. The Siding segment offers LP SmartSide trim and siding products, LP SmartSide ExpertFinish trim and siding products, LP BuilderSeries lap siding products, and LP Outdoor Building Solutions; and engineered wood siding, trim, soffit, and fascia products. The OSB segment manufactures and distributes OSB structural panel products comprising LP TechShield radiant barriers, LP WeatherLogic air and water barriers, LP Legacy premium sub-flooring products, LP FlameBlock fire-rated sheathing products, and LP TopNotch sub-flooring products. The EWP segment provides laminated veneer lumber and other related products; and LP SolidStart I-joists, which are primarily used in residential and commercial floorings, roofing systems, and other structural applications. The South America segment manufactures and distributes OSB structural panel and siding products. This segment also distributes and sells related products for the region's transition to wood frame construction. It also offers timber and timberlands and other products and services. The company sells its products primarily to retailers, wholesalers, and homebuilding and industrial businesses in North America and South America, Asia, Australia, and Europe. Louisiana-Pacific Corporation was incorporated in 1972 and is headquartered in Nashville, Tennessee.
How the Company Makes MoneyLouisiana-Pacific generates revenue primarily through the sale of its engineered wood products and building materials. The company operates on a business-to-business model, supplying products to distributors, retailers, and construction companies. Key revenue streams include sales from oriented strand board (OSB), siding products like LP SmartSide, and other engineered wood solutions. Additionally, LPX benefits from strategic partnerships with retailers and builders, enhancing its market reach. Factors contributing to its earnings include demand fluctuations in the housing market, pricing strategies, and operational efficiencies achieved through advances in manufacturing technologies.

Louisiana-Pacific Earnings Call Summary

Earnings Call Date:Nov 05, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Feb 24, 2026
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture, with strong growth and innovation in the Siding segment and operational excellence in OSB, but challenged by significant declines in sales and EBITDA, mainly due to a weak OSB market. Recognition and improved guidance were positive, but softer market expectations and struggles in South America added concern.
Q3-2025 Updates
Positive Updates
Siding Sales Revenue Growth
Siding sales revenue grew by 5% year-over-year, driven by price increases and a strong product mix, exceeding expectations and guidance.
ExpertFinish Volume Increase
Sales volumes for the ExpertFinish siding product increased by 17% year-over-year, contributing significantly to the price mix effect.
Operational Excellence in OSB
The OSB business achieved 80% overall equipment effectiveness, up 2 points from last year, despite challenging market conditions.
Recognition and Awards
LP was named one of the 50 Best Manufacturers in the United States by IndustryWeek and one of America's Most Admired Workplaces by Newsweek.
Increased Full Year EBITDA Guidance
Total company EBITDA guidance for the full year was increased by $20 million, from $405 million to $425 million.
Negative Updates
Decline in Total Sales and EBITDA
Total sales in the quarter decreased by 8% compared to the prior year, and EBITDA dropped to $82 million, significantly impacted by low OSB prices.
Challenges in OSB Market
OSB prices remained low, driven by sluggish demand, particularly in the Southeast, resulting in prices barely above variable cost.
Slightly Weaker Siding Market for Q4
A softer market is anticipated for the fourth quarter, with a slight reduction in revenue growth expectations from 9% to 8% for the year.
South American Business Struggles
The South American business is struggling with a sluggish economy and is not fully offsetting corporate overhead costs.
Company Guidance
During the third quarter of 2025, Louisiana-Pacific Corporation (LP) updated its guidance for the fiscal year, expecting full-year total company EBITDA to reach $425 million, an increase from the previous guidance of $405 million. Despite facing an 8% decline in overall sales and an EBITDA drop to $82 million due to extended low OSB prices, LP's Siding segment saw a 5% increase in sales revenue, mainly driven by price and product mix. The ExpertFinish product line contributed significantly with a 17% increase in sales volumes, accounting for 10% of overall Siding volume and 17% of revenue. The OSB segment achieved 80% overall equipment effectiveness, up 2 percentage points from the previous year. For the fourth quarter, LP anticipated a $45 million EBITDA loss in the OSB segment but reaffirmed a $430 million EBITDA guidance for the Siding segment, projecting about $370 million in revenue with a 26% full-year EBITDA margin. The company's cash flow for the quarter was strong, generating $89 million in operating cash flow and maintaining over $1 billion in liquidity. LP also announced a strategic evaluation of converting its Maniwaki, Quebec OSB mill to Siding production to optimize capacity and capital efficiency.

Louisiana-Pacific Financial Statement Overview

Summary
Louisiana-Pacific exhibits strong financial health with consistent improvements in profitability and efficient cash management. The balance sheet underscores financial stability with low leverage, while cash flow remains robust. However, revenue volatility and potential industry risks warrant attention.
Income Statement
76
Positive
Louisiana-Pacific demonstrated strong growth in revenue and profitability over the years. The gross profit margin consistently improved, reaching approximately 28.3% in 2024, indicating effective cost management. Net profit margin also saw substantial improvement, rising to 14.3% in 2024. However, revenue fluctuations, particularly a dip in 2023, highlight volatility in the construction industry.
Balance Sheet
81
Very Positive
The company's balance sheet shows a strong equity position with an improving debt-to-equity ratio, which was 0.22 in 2024. This indicates conservative financial management and reduced leverage risk. The equity ratio increased to 65.1% in 2024, reflecting a stable financial foundation. However, the high reliance on equity could limit leverage opportunities.
Cash Flow
72
Positive
Cash flow analysis reveals robust operating cash flows, with a significant increase in free cash flow to $422 million in 2024, indicating strong cash generation capabilities. The operating cash flow to net income ratio improved to 1.44 in 2024, showcasing efficient cash conversion. However, free cash flow growth rates show volatility, necessitating careful monitoring.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.82B2.94B2.58B3.85B3.92B2.40B
Gross Profit666.00M831.00M593.00M1.50B1.96B833.00M
EBITDA441.00M659.00M381.00M1.36B1.86B753.00M
Net Income216.00M420.00M178.00M1.09B1.38B499.00M
Balance Sheet
Total Assets2.65B2.57B2.44B2.35B2.19B2.09B
Cash, Cash Equivalents and Short-Term Investments316.00M340.00M222.00M369.00M358.00M535.00M
Total Debt378.00M380.00M378.00M395.00M397.00M389.00M
Total Liabilities910.00M898.00M880.00M916.00M955.00M842.00M
Stockholders Equity1.74B1.67B1.56B1.43B1.24B1.23B
Cash Flow
Free Cash Flow143.00M422.00M16.00M730.00M1.23B582.00M
Operating Cash Flow421.00M605.00M316.00M1.14B1.48B659.00M
Investing Cash Flow-276.00M-183.00M-376.00M-146.00M-247.00M-49.00M
Financing Cash Flow-165.00M-292.00M-77.00M-982.00M-1.39B-272.00M

Louisiana-Pacific Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price82.06
Price Trends
50DMA
84.74
Negative
100DMA
88.81
Negative
200DMA
89.67
Negative
Market Momentum
MACD
-1.48
Negative
RSI
53.01
Neutral
STOCH
90.11
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LPX, the sentiment is Neutral. The current price of 82.06 is above the 20-day moving average (MA) of 78.38, below the 50-day MA of 84.74, and below the 200-day MA of 89.67, indicating a neutral trend. The MACD of -1.48 indicates Negative momentum. The RSI at 53.01 is Neutral, neither overbought nor oversold. The STOCH value of 90.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LPX.

Louisiana-Pacific Risk Analysis

Louisiana-Pacific disclosed 29 risk factors in its most recent earnings report. Louisiana-Pacific reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Louisiana-Pacific Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
69
Neutral
$5.39B17.269.78%1.51%-3.90%-25.97%
69
Neutral
$1.89B10.9718.81%3.76%-8.92%-32.30%
65
Neutral
$5.71B26.4512.75%1.36%-3.26%-46.80%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
$11.15B9.4414.56%3.72%6.65%47.88%
48
Neutral
$286.12M-10.47%-21.76%-1214.73%
45
Neutral
$117.89M-39.37%12.78%-5.85%9.13%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
LPX
Louisiana-Pacific
82.06
-34.26
-29.45%
CLW
Clearwater Paper
17.84
-9.33
-34.34%
MERC
Mercer International
1.76
-4.11
-70.02%
UFPI
UFP Industries
92.46
-37.36
-28.78%
SUZ
Suzano Papel e Celulose SA
8.88
-1.64
-15.59%
SLVM
Sylvamo Corp
47.81
-38.92
-44.87%

Louisiana-Pacific Corporate Events

Louisiana-Pacific Corp Reports Mixed Q3 2025 Results
Nov 6, 2025

Louisiana-Pacific Corporation (LP), a prominent player in the building products industry, specializes in manufacturing high-performance engineered wood products for construction and remodeling markets globally. The company, headquartered in Nashville, Tennessee, operates over 20 manufacturing facilities across the U.S., Canada, Chile, and Brazil.

Louisiana-Pacific Corp’s Mixed Earnings Call: Growth Amid Challenges
Nov 6, 2025

The recent earnings call for Louisiana-Pacific Corporation (LP) painted a mixed picture, reflecting both growth and challenges. While the company demonstrated strong performance in its Siding segment and operational excellence in its OSB division, it faced significant declines in sales and EBITDA, largely due to a weak OSB market. Despite these challenges, the company received recognition and improved its guidance, although concerns about softer market expectations and struggles in South America remain.

Executive/Board Changes
Louisiana-Pacific CEO Announces Retirement, Successor Named
Neutral
Nov 3, 2025

On October 30, 2025, W. Bradley Southern, the CEO of Louisiana-Pacific Corporation, announced his retirement effective February 19, 2026. The Board has appointed Jason Ringblom, the current President, to succeed him as CEO on the same date. This transition will also see the elimination of the President’s office, and no compensation details for Mr. Ringblom’s new role have been determined yet.

The most recent analyst rating on (LPX) stock is a Hold with a $98.00 price target. To see the full list of analyst forecasts on Louisiana-Pacific stock, see the LPX Stock Forecast page.

Dividends
Louisiana-Pacific Announces Quarterly Dividend Payment
Positive
Oct 30, 2025

On October 30, 2025, Louisiana-Pacific Corporation announced a quarterly cash dividend of $0.28 per share, payable on November 21, 2025, to stockholders of record as of November 14, 2025. This decision reflects the company’s ongoing commitment to delivering value to its shareholders and may enhance its market position by demonstrating financial stability and rewarding investor loyalty.

The most recent analyst rating on (LPX) stock is a Hold with a $98.00 price target. To see the full list of analyst forecasts on Louisiana-Pacific stock, see the LPX Stock Forecast page.

Louisiana-Pacific Corp’s Earnings Call: Mixed Outlook with Siding Strength
Aug 8, 2025

Louisiana-Pacific Corp’s recent earnings call painted a picture of mixed sentiment, with notable achievements in the Siding segment and strong operational efficiency, but also significant challenges in the OSB segment due to falling prices and negative EBITDA forecasts. The company remains resilient with a solid liquidity position, despite broader market and economic headwinds.

Louisiana-Pacific Corp Reports Mixed Q2 2025 Results
Aug 7, 2025

Louisiana-Pacific Corporation (LP Building Solutions) is a prominent manufacturer of engineered wood products, serving the construction industry with a diverse range of high-performance building solutions. Headquartered in Nashville, Tennessee, LP operates over 20 manufacturing facilities across the U.S., Canada, Chile, and Brazil.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 06, 2025