How to buy Domtar Corporation stock | $31.79

Domtar Corporation is a paper & paper products business based in the US. Domtar Corporation shares (UFS) are listed on the NYSE and all prices are listed in US Dollars. Domtar Corporation employs 8,900 staff and has a trailing 12-month revenue of around USD$4.7 billion.

How to buy shares in Domtar Corporation

1. Compare share trading platforms. If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio. Narrow down top brands with our comparison table.
2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and bank information. Fund your account with a bank transfer, credit card or debit card.
3. Search for Domtar Corporation. Find the stock by name or ticker symbol: UFS. Research its history to confirm it's a solid investment against your financial goals.
4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Domtar Corporation reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
5. Decide on how many to buy. At last close price of USD$31.79, weigh your budget against a diversified portfolio that can minimize risk through the market's ups and downs. You may be able to buy a fractional share of Domtar Corporation, depending on your broker.
6. Check in on your investment. Congratulations, you own a part of Domtar Corporation. Optimize your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Domtar Corporation share price

Use our graph to track the performance of UFS stocks over time.

Domtar Corporation shares at a glance

• Key figures

Information last updated 2020-12-09.

Latest market close	USD$31.79
52-week range	USD$18.0131 - USD$39.2079
50-day moving average	USD$27.6226
200-day moving average	USD$25.417
Wall St. target price	USD$32.75
PE ratio	99.5833
Dividend yield	USD$1.82 (8.41%)
Earnings per share (TTM)	USD$0.173

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Is it a good time to buy Domtar Corporation stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Technical Analysis of Domtar Corporation by TradingView

This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.

Domtar Corporation price performance over time

Historical closes compared with the close of $31.79 from 2020-12-09

1 week (2021-01-06)	N/A
1 month (2020-12-13)	N/A
3 months (2020-10-13)	N/A
6 months (2020-07-13)	N/A

1 year (2020-01-13)	N/A
2 years (2019-01-13)	N/A
3 years (2018-01-13)	N/A
5 years (2016-01-13)	N/A

Is Domtar Corporation under- or over-valued?

Valuing Domtar Corporation stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Domtar Corporation's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Domtar Corporation's P/E ratio

Domtar Corporation's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 100x. In other words, Domtar Corporation shares trade at around 100x recent earnings.

That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.

Domtar Corporation's PEG ratio

Domtar Corporation's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 5.86. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Domtar Corporation's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Domtar Corporation's EBITDA

Domtar Corporation's EBITDA (earnings before interest, taxes, depreciation and amortisation) is USD$350 million.

The EBITDA is a measure of a Domtar Corporation's overall financial performance and is widely used to measure a its profitability.

Domtar Corporation financials

Revenue TTM	USD$4.7 billion
Operating margin TTM	1.35%
Gross profit TTM	USD$995 million
Return on assets TTM	0.81%
Return on equity TTM	-4.39%
Profit margin	-2.19%
Book value	$40.06
Market capitalisation	USD$1.7 billion

TTM: trailing 12 months

Shorting Domtar Corporation shares

There are currently 1.5 million Domtar Corporation shares held short by investors – that's known as Domtar Corporation's "short interest". This figure is 8.9% down from 1.7 million last month.

There are a few different ways that this level of interest in shorting Domtar Corporation shares can be evaluated.

Domtar Corporation's "short interest ratio" (SIR)

Domtar Corporation's "short interest ratio" (SIR) is the quantity of Domtar Corporation shares currently shorted divided by the average quantity of Domtar Corporation shares traded daily (recently around 803983.68421053). Domtar Corporation's SIR currently stands at 1.9. In other words for every 100,000 Domtar Corporation shares traded daily on the market, roughly 1900 shares are currently held short.

However Domtar Corporation's short interest can also be evaluated against the total number of Domtar Corporation shares, or, against the total number of tradable Domtar Corporation shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Domtar Corporation's short interest could be expressed as 0.03% of the outstanding shares (for every 100,000 Domtar Corporation shares in existence, roughly 30 shares are currently held short) or 0.0387% of the tradable shares (for every 100,000 tradable Domtar Corporation shares, roughly 39 shares are currently held short).

Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against Domtar Corporation.

Find out more about how you can short Domtar Corporation stock.

Domtar Corporation share dividends

Dividend payout ratio: 112.35% of net profits

Recently Domtar Corporation has paid out, on average, around 112.35% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 8.41% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Domtar Corporation shareholders could enjoy a 8.41% return on their shares, in the form of dividend payments. In Domtar Corporation's case, that would currently equate to about $1.82 per share.

Domtar Corporation's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.

Domtar Corporation's most recent dividend payout was on 15 April 2020. The latest dividend was paid out to all shareholders who bought their shares by 1 April 2020 (the "ex-dividend date").

Have Domtar Corporation's shares ever split?

Domtar Corporation's shares were split on a 2:1 basis on 18 June 2014. So if you had owned 1 share the day before before the split, the next day you'd have owned 2 shares. This wouldn't directly have changed the overall worth of your Domtar Corporation shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Domtar Corporation shares which in turn could have impacted Domtar Corporation's share price.

Domtar Corporation share price volatility

Over the last 12 months, Domtar Corporation's shares have ranged in value from as little as $18.0131 up to $39.2079. A popular way to gauge a stock's volatility is its "beta".

Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Domtar Corporation's is 1.937. This would suggest that Domtar Corporation's shares are more volatile than the average for this exchange and represent, relatively-speaking, a higher risk (but potentially also market-beating returns).

Domtar Corporation overview

Domtar Corporation designs, manufactures, markets, and distributes communication papers, specialty and packaging papers, and absorbent hygiene products in the United States, Canada, Europe, Asia, and internationally. It operates through two segments, Pulp and Paper, and Personal Care. The company provides business papers, including copy and electronic imaging papers used in 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. It also offers commercial printing and publishing papers, such as offset papers and opaques used in sheet and roll fed offset presses; publishing papers, which include tradebook and lightweight uncoated papers for publishing textbooks, dictionaries, catalogs, magazines, hard cover novels, and financial documents; and base papers for envelopes, tablets, business forms, and data processing/computer forms. In addition, the company provides papers for thermal printing, flexible packaging, food packaging, medical packaging, medical gowns and drapes, sandpaper backing, carbonless printing, labels and other coating, and laminating applications; and papers for industrial and specialty applications, such as carrier papers, treated papers, security papers, and specialized printing and converting applications. Further, it designs, manufactures, markets, and distributes absorbent hygiene products, including adult incontinence and infant diaper products under the Attends, IncoPack, Indasec, Reassure, Chelino, and Comfees brand names. Additionally, the company offers branded and private label briefs, bladder control pads, protective underwear, underpads, and washcloths, as well as baby diapers, change mats, youth pants, and training pants for healthcare, retail, and direct-to-consumer channels. It serves merchants, retail outlets, stationers, printers, publishers, converters, and end-users. Domtar Corporation was founded in 1848 and is based in Fort Mill, South Carolina.

Frequently asked questions

• What percentage of Domtar Corporation is owned by insiders or institutions?

  Currently 0.342% of Domtar Corporation shares are held by insiders and 91.401% by institutions.

• How many people work for Domtar Corporation?

  Latest data suggests 8,900 work at Domtar Corporation.

• When does the fiscal year end for Domtar Corporation?

  Domtar Corporation's fiscal year ends in December.

• Where is Domtar Corporation based?

  Domtar Corporation's address is: 234 Kingsley Park Drive, Fort Mill, SC, United States, 29715

• What is Domtar Corporation's ISIN number?

  Domtar Corporation's international securities identification number is: US2575592033

• What is Domtar Corporation's CUSIP number?

  Domtar Corporation's Committee on Uniform Securities Identification Procedures number is: 257559104