Critical Analysis: Doman Building Materials Group (CWXZF) vs. Its Rivals

Doman Building Materials Group (OTCMKTS:CWXZF) is one of 158 public companies in the “Trading Companies & Distributors” industry, but how does it weigh in compared to its rivals? We will compare Doman Building Materials Group to similar businesses based on the strength of its profitability, valuation, institutional ownership, earnings, dividends, risk and analyst recommendations.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Doman Building Materials Group and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Doman Building Materials Group	0	1	1	0	2.50
Doman Building Materials Group Competitors	1411	4859	6648	217	2.43

As a group, “Trading Companies & Distributors” companies have a potential upside of 7.68%. Given Doman Building Materials Group’s rivals higher probable upside, analysts clearly believe Doman Building Materials Group has less favorable growth aspects than its rivals.

Insider and Institutional Ownership

21.8% of Doman Building Materials Group shares are held by institutional investors. Comparatively, 50.9% of shares of all “Trading Companies & Distributors” companies are held by institutional investors. 17.1% of shares of all “Trading Companies & Distributors” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Dividends

Doman Building Materials Group pays an annual dividend of $0.42 per share and has a dividend yield of 5.2%. Doman Building Materials Group pays out 98.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Trading Companies & Distributors” companies pay a dividend yield of 2.9% and pay out 36.6% of their earnings in the form of a dividend.

Valuation and Earnings

This table compares Doman Building Materials Group and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Doman Building Materials Group	N/A	N/A	18.85
Doman Building Materials Group Competitors	$6.48 billion	$363.90 million	24.05

Doman Building Materials Group’s rivals have higher revenue and earnings than Doman Building Materials Group. Doman Building Materials Group is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Doman Building Materials Group and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Doman Building Materials Group	N/A	N/A	N/A
Doman Building Materials Group Competitors	0.68%	-34.57%	3.12%

Summary

Doman Building Materials Group rivals beat Doman Building Materials Group on 10 of the 13 factors compared.

About Doman Building Materials Group

Doman Building Materials Group Ltd., through its subsidiaries, engages in the wholesale distribution of building materials and home renovation products in the United States and Canada. The company offers treated wood; siding and trim; decking and aluminum railing; engineered wood products; roofing products; insulation and wrap products; and lumber and plywood products. It is also involved in agricultural post-peeling and pressure treating activities, as well as timber ownership and management of private timberlands and forest licenses; and provides other value-add services. In addition, the company distributes lumber products. It sells its products to small independent lumber yards, regional building material dealers, home improvement chains, and retailers. The company serves its products to new home construction, home renovation, and industrial markets. The company was formerly known as CanWel Building Materials Group Ltd. and changed its name to Doman Building Materials Group Ltd. in May 2021. Doman Building Materials Group Ltd. was founded in 1989 and is headquartered in Vancouver, Canada.