WFSTF's Gross Margin % is ranked worse than 84.95% of 279
companies
in the Forest Products industry
Industry Median: 19.05
vs WFSTF: 5.96
Western Forest Products had a gross margin of -1.19% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Western Forest Products was -23.20% per year.
Western Forest Products (OTCPK:WFSTF) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Western Forest Products had a gross margin of -1.19% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Western Forest Products Gross Margin % Related Terms
Western Forest Products Gross Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
WFSTF vs SSD, UFPI, BCC: Gross Margin % Comparison
For the Lumber & Wood Production subindustry, Western Forest Products's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Western Forest Products Gross Margin % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Western Forest Products's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Western Forest Products's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Western Forest Products (WFSTF) has a Gross Margin % of -1.19% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Western Forest Products and its competitors. Over the past decade, Western Forest Products' Gross Margin % has ranged from 5.00 to 30.01. According to the industry distribution chart, Western Forest Products ranks #237 out of 279 companies in the Forest Products industry, placing it in the top 84.9%.
Is Western Forest Products' Gross Margin % too high?
Western Forest Products' current Gross Margin % is -1.19%. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 30.01. Based on the distribution chart, Western Forest Products ranks #237 out of 279 companies in the Forest Products industry, which is in the bottom quartile relative to peers. Overall, Western Forest Products has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Western Forest Products' Gross Margin % compare to SSD and UFPI?
According to the Forest Products industry distribution chart, Western Forest Products ranks #237 out of 279 companies for Gross Margin %. This places Western Forest Products in the lower half of its industry. The industry median Gross Margin % is 19.05. Historically, Western Forest Products' own Gross Margin % has ranged from 5.00 to 30.01 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Forest Products company?
The median Gross Margin % among Forest Products companies is 19.05, based on 279 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Western Forest Products and its competitors. For the Forest Products industry, the median Gross Margin % is 19.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Western Forest Products's current Gross Margin % is -1.19%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Western Forest Products stock overvalued right now?
Based on GuruFocus' analysis, Western Forest Products (WFSTF) is currently considered Significantly Overvalued. The stock's GF Value™ is $8.95, compared to a current price of $13.08 — trading 46.1% above its estimated fair value. The current Gross Margin % is -1.19%. Western Forest Products' overall GF Score™ is 61/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Western Forest Products (WFSTF), the current Gross Margin % is -1.19% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Western Forest Products (WFSTF) Overvalued in 2026?
Based on GuruFocus' analysis, Western Forest Products stock appears to be overvalued.
The current stock price of $13.08 is trading 46.1% above its estimated GF Value™ of $8.95.
GuruFocus considers Western Forest Products to be Significantly Overvalued.
Key valuation signals for WFSTF:
Gross Margin %: -1.19%
GF Value™: $8.95 vs. price of $13.08 (46.1% above fair value)
No single metric tells the full story. See the WFSTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Western Forest Products Inc is a Canada-based softwood forest products company. The company's principal business activities include sale of lumber and logs, which includes timber harvesting, sawmilling logs into specialty lumber, value-added lumber and glue-laminated timber (glulam) remanufacturing, and lumber purchase and wholesaling activities. The Company manages its business as a single operating segment, with the majority of Western's property, plant and equipment, biological assets and timber license located in Canada. The company operates in United States, Canada, Japan, China, Europe and Other countries. It derives maximum revenue from Canada.
61GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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