Domtar Corp (UFS) Receives $51.50 Average Target Price from Brokerages

Shares of Domtar Corp (NYSE:UFS) (TSE:UFS) have earned a consensus recommendation of “Hold” from the sixteen analysts that are currently covering the stock, Marketbeat Ratings reports. Two investment analysts have rated the stock with a sell recommendation, nine have issued a hold recommendation and four have given a buy recommendation to the company. The average twelve-month price target among brokerages that have updated their coverage on the stock in the last year is $51.50.

Several equities research analysts recently weighed in on the company. Zacks Investment Research cut Domtar from a “buy” rating to a “hold” rating in a report on Saturday, April 13th. Raymond James reiterated a “market perform” rating and issued a $51.00 price objective on shares of Domtar in a report on Thursday, May 2nd. Goldman Sachs Group upgraded Domtar from a “neutral” rating to a “buy” rating and increased their price objective for the stock from $51.00 to $56.00 in a report on Friday, May 3rd. TheStreet upgraded Domtar from a “c” rating to a “b” rating in a report on Wednesday, February 6th. Finally, UFS reiterated a “sell” rating on shares of Domtar in a report on Thursday, February 21st.

In other news, VP Daniel Buron sold 13,591 shares of the firm’s stock in a transaction that occurred on Wednesday, February 20th. The stock was sold at an average price of $53.42, for a total value of $726,031.22. Following the completion of the transaction, the vice president now owns 4,982 shares in the company, valued at approximately $266,138.44. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Michael Fagan sold 11,834 shares of the firm’s stock in a transaction that occurred on Thursday, February 28th. The shares were sold at an average price of $51.13, for a total value of $605,072.42. The disclosure for this sale can be found here. In the last 90 days, insiders sold 136,857 shares of company stock valued at $7,184,917. 0.95% of the stock is currently owned by company insiders.

Hedge funds have recently bought and sold shares of the stock. Sandbar Asset Management LLP grew its holdings in shares of Domtar by 373.5% in the first quarter. Sandbar Asset Management LLP now owns 54,330 shares of the basic materials company’s stock worth $2,697,000 after acquiring an additional 42,856 shares during the period. HighTower Advisors LLC bought a new stake in shares of Domtar in the first quarter worth $1,165,000. Ladenburg Thalmann Financial Services Inc. grew its holdings in shares of Domtar by 35.8% in the first quarter. Ladenburg Thalmann Financial Services Inc. now owns 1,263 shares of the basic materials company’s stock worth $63,000 after acquiring an additional 333 shares during the period. Morgan Stanley grew its holdings in shares of Domtar by 29.2% in the first quarter. Morgan Stanley now owns 183,971 shares of the basic materials company’s stock worth $9,134,000 after acquiring an additional 41,605 shares during the period. Finally, Macquarie Group Ltd. grew its holdings in shares of Domtar by 9.0% in the first quarter. Macquarie Group Ltd. now owns 50,455 shares of the basic materials company’s stock worth $2,505,000 after acquiring an additional 4,155 shares during the period. 92.72% of the stock is owned by institutional investors.

UFS stock traded down $0.92 during trading on Friday, hitting $43.11. 30,258 shares of the company traded hands, compared to its average volume of 603,486. The stock has a market capitalization of $2.78 billion, a PE ratio of 9.34 and a beta of 1.96. Domtar has a 1 year low of $33.81 and a 1 year high of $54.50. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.19 and a quick ratio of 1.11.

Domtar (NYSE:UFS) (TSE:UFS) last issued its earnings results on Wednesday, May 1st. The basic materials company reported $1.44 earnings per share for the quarter, beating the consensus estimate of $1.36 by $0.08. The company had revenue of $1.38 billion during the quarter, compared to analysts’ expectations of $1.44 billion. Domtar had a return on equity of 12.88% and a net margin of 5.63%. Domtar’s quarterly revenue was up 2.3% compared to the same quarter last year. During the same period in the prior year, the business posted $0.87 EPS. Analysts anticipate that Domtar will post 5.29 EPS for the current year.

The company also recently announced a quarterly dividend, which will be paid on Tuesday, July 16th. Stockholders of record on Tuesday, July 2nd will be paid a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 4.22%. The ex-dividend date is Monday, July 1st. This is a boost from Domtar’s previous quarterly dividend of $0.44. Domtar’s dividend payout ratio (DPR) is presently 37.74%.

Domtar Company Profile

Domtar Corporation designs, manufactures, markets, and distributes various communication papers, specialty and packaging papers, and absorbent hygiene products in the United States, Canada, Europe, Asia, and internationally. It operates in two segments, Pulp and Paper, and Personal Care. The company offers business papers, including copy and electronic imaging papers for use with inkjet and laser printers, photocopiers, and plain-paper fax machines, as well as computer papers, preprinted forms, and digital papers for office and home use.

Featured Article: Terms to Better Understand Call Options

Analyst Recommendations for Domtar (NYSE:UFS)

Receive News & Ratings for Domtar Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Domtar and related companies with MarketBeat.com's FREE daily email newsletter.