Why Louisiana-Pacific Stock Is Falling Today
Slowing demand for building products and choppy pricing ate into Louisiana-Pacific's (NYSE: LPX) second-quarter results, and investors are clearly disappointed. Shares of the wood products company fell by more than 14% on Wednesday following the earnings release, and were down by 13% as of 1:20 p.m. ET.
Louisiana-Pacific reported adjusted second-quarter earnings of $0.55 per share on revenue of $611 million, falling short of analysts' consensus estimates of $0.66 per share on sales of $665 million. Net sales decreased by 46% year over year, driven by lower volumes and average selling prices for the company's oriented strand board.
Oriented strand board net sales decreased by 66%, while siding solutions net sales were down by 11%. The company also took a charge related to its exit from an off-site framing operation and recorded a settlement of patent-related claims.
Source Fool.com
