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Clearwater Paper Corporation

CLW
16
Paper, Lumber & Forest Products · Basic Materials
Price
$15.98
-0.32 (-1.96%)
Market Cap
$257.7M
Winston Score
16
Winston is worried
Weak fundamentals across most pillars.

Share count falling — buybacks

3.6% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 16.8M (2021) → 16.2M (2025)

Clearwater Paper Corporation makes paper products sold in grocery stores and big-box retailers across the United States. The company focuses on private-label tissue products — things like store-brand toilet paper, paper towels, and facial tissue — which retailers sell under their own names instead of national brands. It is one of the larger dedicated private-label tissue manufacturers in the country.

Clearwater makes money by selling these paper products directly to retailers and wholesale distributors. The company operates primarily in the United States, with several manufacturing facilities, and generates roughly $1.7 billion in annual revenue. Its competitive position depends on being a reliable, low-cost supplier to retailers who want an alternative to expensive branded products — but thin margins and rising input costs for pulp and energy are a constant pressure. With a gross margin around 5% and a slightly negative operating margin, the biggest challenge ahead is improving profitability as raw material costs fluctuate and competition from other private-label producers remains intense.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

-4.7% YoY

YoY Growth Rate

Revenue declining

EPS Growth

-110.5% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (3%)

Research and development spending

Insider Activity

3.4%ownership

Relatively low insider ownership

Cash Runway

~13 months

$37M cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Adequate runway but may need to raise capital within 2 years

Revenue declining

Clearwater Paper Corporation's revenue is actually shrinking. In a growth stock, that removes the core investment thesis. The low Winston Score here may be warranted — unless there's a turnaround story.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
-0.2%
Thin — -0.2% gross margin
Operating Margin
-5.9%
Losing money on operations — -5.9%
ROCE
-2.4%
Weak — -2.4% return on capital

Negative ROIC means the business is losing money on every dollar invested in it.

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Growth

Sales YoY
+2.3%
Nearly flat sales (2.3% YoY)
EPS YoY
-115.0%
Earnings shrinking (-115.0% YoY)

Earnings per share down more than 10%. Either a bad year, or a real decline.

EPS Consistency
2/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
N/A
Data not available
FCF Margin
-3.5%
Burning cash (-3.5%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
0.10
Conservative — low debt load (0.10)
Interest Cover
N/A
Data not available

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Valuation

P/E Ratio (TTM)
N/M
Negative earnings — P/E not meaningful
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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