Louisiana-Pacific director sells $34,023 in stock

In a recent transaction, Ozey K. Horton Jr., a director at Louisiana-Pacific Corp (NYSE:), sold 300 shares of the company's common stock. The shares were sold at a price of $113.41 each, totaling $34,023. Following this transaction, Horton holds 28,638 shares directly. This figure includes 4 shares credited as dividend equivalents on restricted stock units and 9,215 deferred stock units, which also reflect dividend equivalents since the last Form 4 filing.

In other recent news, Louisiana-Pacific Corporation demonstrated robust financial performance, particularly in its Siding business. The company reported net sales of $722 million in the third quarter of 2024, with a record EBITDA of $123 million from siding sales, indicating a 22% increase. BMO Capital Markets acknowledged this strong performance, raising Louisiana-Pacific's stock target to $103 while retaining a Market Perform rating.

Loop Capital also recognized the company's growth, increasing the stock price target to $117 and maintaining a Hold rating. Both firms noted the resilience and growth of Louisiana-Pacific's Siding business, despite a fluctuating housing market. This resilience can be seen in the company's updated fiscal year 2024 adjusted EBITDA guidance, which was raised to a range of $655 million to $675 million, anticipating a siding sales growth of 17%.

Despite a decline in Oriented Strand Board (OSB) prices, negatively impacting the company by $88 million, Louisiana-Pacific remains optimistic. The company plans to start a new siding capacity expansion project in fiscal year 2025, demonstrating its strategic focus on expanding its siding business. These recent developments underscore Louisiana-Pacific's ability to navigate market dynamics and highlight the company's potential for continued growth.

InvestingPro Insights

While Ozey K. Horton Jr.'s recent sale of 300 shares might raise eyebrows, a deeper look at Louisiana-Pacific Corp's (NYSE:LPX) financial metrics and market performance reveals a more nuanced picture.

According to InvestingPro data, LPX's stock has shown remarkable strength, with a 60.25% year-to-date price total return and an impressive 85.65% return over the past year. This robust performance is reflected in the stock trading at 98.41% of its 52-week high, suggesting strong investor confidence.

The company's financial health appears solid, with a market capitalization of $7.9 billion and a P/E ratio of 19.3, indicating a reasonable valuation relative to earnings. LPX's revenue for the last twelve months as of Q3 2023 stood at $2.919 billion, with a healthy gross profit margin of 28.43%.

InvestingPro Tips highlight that Louisiana-Pacific has been aggressively buying back shares and has raised its dividend for 7 consecutive years, demonstrating a commitment to returning value to shareholders. This aligns with the company's strong financial position, as liquid assets exceed short-term obligations, and the company operates with a moderate level of debt.

The stock's performance and the company's financial stability suggest that Horton's sale may be part of personal portfolio management rather than a reflection of the company's prospects. With 18 additional InvestingPro Tips available, investors can gain further insights into LPX's potential. These tips, along with real-time metrics, provide a comprehensive view of the company's financial health and market position.

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