Is it a good company at a reasonable price? This stock is rather cyclical. You can make money on it if you buy at the right time. They pay dividend, but set it at a rate that they can currently afford. So, the dividend does fluctuate. It is 7% off its latest peak of March 2026 of $12.70. I cut its dividends by 57% this year, so I think that implies that the company does not expect to do well this year. It is never a good sign when dividends are cut. It is testing as expensive.
I own this stock of Goodfellow Inc (TSX-GDL, OTC-GFELF). Goodfellow looks like a good small cap stock. It was being pushed by Investor Reporter. This site no longer exits.
When I was updating my spreadsheet, I noticed that their first quarter of 2026 is not very good. Revenue, AFFO, Net Income, Dividend and Stock Price are all down. The only item going up is Cash Flow and it was very low in 2025 compared to other years. I have noticed that both Revenue and Net Income has been falling the last couple of years. The stock price chart shows a rather cyclical business.
I have not done well on this stock. I have had it for 15 years and I have a total return of 3.64% with 3.42% from dividends and 0.22% from capital gains. I paid too much for this stock when I initially bought I in 2010. Note that this company has a November 30 year end, so I am dealing with the November 30, 2025 year end.
If you had invested in this company in December 2015, for $1,001.00 you would have bought 100 shares at $10.01 per share. In December 2025, after 10 years you would have received $445 in dividends. The stock would be worth $1,194.00. Your total return would have been $1,639.00. This would be a total return of 5.62% per year with 1.78% from capital gain and 3.84% from dividends.
| Cost | Tot. Cost | Shares | Years | Dividends | Stock Val | Tot Ret |
|---|---|---|---|---|---|---|
| $10.01 | $1,001.00 | 100 | 10 | $445.00 | $1,194.00 | $1,639.00 |
The current dividend yield is moderate with dividend growth is veritable. The current dividend yield is moderate (2% to 4% ranges) at 2.54%. The 5 year median dividend yield is good (5% to 6% ranges) at 6.57%. The 10 year and historical median dividend yields are moderate at 4.14% and 3.74%. The dividends have increased moderately (between 8% and 14% per year) at 11.4% per year over the past 5 years.
However, the dividends were just decreased in 2026 by over 50%. If you look at the per year changes to 2026, the dividends are decreased by 13% per year over the past 5 years. This company decides for each dividend what to pay and therefore dividends can vary a lot. Note that below the DPR for 2025 is 71%, but the DPR for 2026 is expected to be around 36%.
The Dividend Payout Ratios (DPR) are sometimes high, but improving. The DPR for 2025 for Earnings per Share (EPS) is high at 71% with 5 year coverage at 29%. The DPR for 2025 for Adjusted Funds from Operations (AFFO) is good at 19% with 5 year coverage at 17%. The DPR for 2025 for Cash Flow per Share (CFPS) is far too high at 156% with 5 year coverage at 29%. The DPR for 2025 for Free Cash Flow (FCF) is good at 27% with 5 year coverage at 31%.
| Item | Cur | 5 Years |
|---|---|---|
| EPS | 70.59% | 29.06% |
| AFFO | 19.35% | 17.17% |
| CFPS | 155.97% | 29.39% |
| FCF | 27.42% | 30.89% |
Debt Ratios are fine, but current bank debt has increased at lot in 2026. The Current Bank Deb/Market Cap Ratio for 2025 is good at 0.18 but increased a lot in 2026 to 0.45. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.00 and currently at 0.00. The Liquidity Ratio for 2025 is good at 3.09 and 2.31 currently. The Debt Ratio for 2025 is good at 3.38 and 2.65 currently. The Leverage and Debt/Equity Ratios for 2025 are good at 1.42 and 0.42 and currently at 1.61 and 0.61.
| Type | Year End | Ratio Curr |
|---|---|---|
| Bank Deb | 0.18 | 0.45 |
| Lg Term R | 0.00 | 0.00 |
| Intang/GW | 0.00 | 0.00 |
| Liquidity | 3.09 | 2.31 |
| Liq. + CF | 3.07 | 2.32 |
| Debt Ratio | 3.38 | 2.65 |
| Leverage | 1.42 | 1.61 |
| D/E Ratio | 0.42 | 0.61 |
The Total Return per year is shown below for years of 5 to 34 to the end of 2025. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.
| From | Years | Div. Gth | Tot Ret | Cap Gain | Div. |
|---|---|---|---|---|---|
| 2020 | 5 | 11.38% | 15.52% | 7.96% | 7.55% |
| 2015 | 10 | 5.54% | 5.62% | 1.78% | 3.84% |
| 2010 | 15 | 0.00% | 3.29% | -0.07% | 3.37% |
| 2005 | 20 | 0.67% | 3.72% | -0.11% | 3.83% |
| 2000 | 25 | 4.93% | 10.79% | 3.87% | 6.92% |
| 1995 | 30 | 9.45% | 17.01% | 6.14% | 10.88% |
| 1991 | 34 | 9.21% | 12.53% | 5.14% | 7.39% |
The 5-year low, median, and high median Price/Earnings per Share Ratios are 6.67, 7.92 and 9.16. The corresponding 10 year ratios are 4.52, 5.84 and 7.19. The corresponding historical ratios are 7.86, 8.11 and 10.78. The current ratio is 13.88 based on a stock price of $11.80 and EPS for the last 12 months of $0.85. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. However, a P/E of 13.88 is not a high one, but it is even higher than the Historical Ratios.
I also have Adjusted Funds from Operations (AFFO) data. The 5-year low, median, and high median Price/Adjusted Funds from Operations Ratios are 3.30, 3.91 and 4.45. The corresponding 10 year ratios are 3.41, 3.95 and 4.49. The corresponding historical ratios are 4.38, 4.80 and 5.22. The current ratio is 3.92 based on a stock price of $11.80 and AFFO for the last 12 months of $3.10. The current ratio is between and low and the median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.
I get a Graham Price of $21.58. The 10-year low, median, and high median Price/Graham Price Ratios are 0.42, 0.48 and 0.54. The current ratio is 0.55 based on a stock price of $11.80. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.
I get a 10-year median Price/Book Value per Share Ratio of 0.53. The current P/B Ratio is 0.48 based on a Book Value of $203M, Book Value per Share of $24.36 and a stock price of $11.80. The current ratio is 9% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.
I get a 10-year median Price/Cash Flow per Share Ratio of 3.24. The current ratio is 30.67 based on Cash Flow for the last 12 months of $3.2M, Cash Flow per Share of $0.38 and a stock price of $11.80. The current ratio is 31% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
I get an historical median dividend yield of 3.74%. The current dividend yield is 2.54% based on a stock price of $11.80 and dividends of $0.30. The current dividend yield is 32% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. The problem is that this company just cut their dividend by 57%.
I get a 10 year median dividend yield of 4.40%. The current dividend yield is 2.54% based on a stock price of $11.80 and dividends of $0.30. The current dividend yield is 39% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively expensive. The problem is that this company just cut their dividend by 57%.
The 10-year median Price/Sales (Revenue) Ratio is 0.14. The current P/S Ratio is 0.18 based on Revenue for the last 12 months of $541M, Revenue per Share of $64.83 and a stock price of $11.80. The current ratio is 28% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.
Results of stock price testing is that the stock price is probably expensive. The dividend yield tests say this. There are problems with this test because the dividends have been decreased by 57%. However, a dividend decrease is not good news. The P/S Ratio test also says that the stock price is relatively expensive. The P/GP Ratio test also says that the stock price is relatively expensive. The rest of the testing is from reasonable to expensive.
When I look at analysts’ recommendations, I find that one site gives it a Strong Buy (1). The consensus would be a Strong Buy. There are no 12 month stock prices given. I could only find one site with an analyst recommendation.
There is only one entry on Stock Chase and it is for 2025 and it says Do Not Buy because the market cap is small, it is 60% owned by the family and is thinly traded. There are no posts on Motley Fool. The company put out a press release via Global Newswire about their fourth quarter of 2025. The company put out a press release via Global Newswire about their results for the first quarter of 2026.
Simply Wall Street via Yahoo Finance reviews this stock. They do not like the inconsistency in their dividends. They have 4 warnings of earnings have declined by 30.6% per year over past 5 years; does not have a meaningful market cap (CA$97M); profit margins (1.2%) are lower than last year (2.2%); and unstable dividend track record. Simply Wall Street via Yahoo Finance looks at the Return on Capital Employed (ROCE) and says it is low but they are encouraged by the company’s reinvestment in its own business.
Goodfellow Inc is engaged in various business activities related to the remanufacturing and distribution of lumber and wood products. The company operates in Canada and the United States; the majority of its revenue is generated from Canada. Its web site is here Goodfellow Inc.
The last stock I wrote about was about was Melcor Developments Inc (TSX-MRD, OTC-MODVF) ... learn more. The next stock I will write about will be Sun Life Financial Inc (TSX-SLF, NYSE-SLF) ... learn more on Monday, April 20, 2026 around 5 pm.
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