SearchCore (OTCMKTS:WOFA) versus Louisiana-Pacific (NYSE:LPX) Critical Contrast

SearchCore (OTCMKTS:WOFA) and Louisiana-Pacific (NYSE:LPX) are both construction companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Analyst Ratings

This is a summary of current ratings and price targets for SearchCore and Louisiana-Pacific, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SearchCore	0	0	0	0	0.00
Louisiana-Pacific	0	4	5	0	2.56

Louisiana-Pacific has a consensus target price of $106.33, suggesting a potential upside of 35.44%. Given Louisiana-Pacific’s stronger consensus rating and higher possible upside, analysts clearly believe Louisiana-Pacific is more favorable than SearchCore.

Profitability

This table compares SearchCore and Louisiana-Pacific’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SearchCore	N/A	N/A	N/A
Louisiana-Pacific	10.34%	18.67%	12.19%

Earnings & Valuation

This table compares SearchCore and Louisiana-Pacific”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SearchCore	N/A	N/A	N/A	N/A	N/A
Louisiana-Pacific	$2.88 billion	1.90	$420.00 million	$4.24	18.52

Louisiana-Pacific has higher revenue and earnings than SearchCore.

Insider & Institutional Ownership

94.7% of Louisiana-Pacific shares are held by institutional investors. 33.3% of SearchCore shares are held by company insiders. Comparatively, 1.4% of Louisiana-Pacific shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Louisiana-Pacific beats SearchCore on 8 of the 9 factors compared between the two stocks.

About SearchCore

Wisdom Homes of America, Inc. engages in opening and operating manufactured home retail centers for homebuyers in Texas. The company was formerly known as SearchCore, Inc. and changed its name to Wisdom Homes of America, Inc. in March 2015. Wisdom Homes of America, Inc. was founded in 2003 and is headquartered in Tyler, Texas.

About Louisiana-Pacific

Louisiana-Pacific Corporation, together with its subsidiaries, provides building solutions primarily for use in new home construction, repair and remodeling, and outdoor structure markets. It operates through Siding, Oriented Strand Board, LP South America, and Other segments. The Siding segment offers LP SmartSide trim and siding products, LP SmartSide ExpertFinish trim and siding products, LP BuilderSeries lap siding products, and LP Outdoor Building Solutions; and engineered wood siding, trim, soffit, and fascia products. Its Oriented Strand Board segment manufactures and distributes oriented strand board structural panel products comprising LP TechShield radiant barriers, LP WeatherLogic air and water barriers, LP Legacy premium sub-flooring products, LP NovaCore, LP FlameBlock fire-rated sheathing products, and LP TopNotch sub-flooring products. The LP South America segment manufactures and distributes oriented strand board structural panel and siding products. This segment distributes and sells related products for the region's transition to wood frame construction. It offers timber and timberlands and other products and services. sells its products primarily to retailers, wholesalers, and homebuilding and industrial businesses in North America and South America, Asia, Australia, and Europe. The company was incorporated in 1972 and is headquartered in Nashville, Tennessee.