Sylvamo Corporation

Worth knowing

• Profitable, but burning cash. Reports a profit, but free cash flow is negative.

  Sylvamo reports a profit but its free cash flow is negative: it spent more on investment and running the business than it brought in. That's common for companies building capacity, but it means the profit isn't yet turning into cash.

• Operating margin at a 4-year low. 7.5% in 2025, the weakest of the last 4 years.

  Sylvamo's operating margin fell to 7.5% in 2025, its lowest in the 4 years of filings we have.

• Investment surge. Capital spending 6.7% of revenue, up from 4.1% in 2022.

  Sylvamo is spending 6.7% of revenue on facilities and equipment, up from 4.1% in 2022. That weighs on free cash flow today; whether it pays off depends on the returns those investments earn.

• Valuation signals disagree. Cheaper than 86% of peers on operating cash profit (EBITDA), but only 0% on free cash flow.Cheaper than 86% of peers on operating cash profit, but only 0% on free cash flow.

  Relative to its operating cash profit (EBITDA), Sylvamo looks cheaper than 86% of peers; relative to its free cash flow, cheaper than only 0%. The valuation score blends the two, so look at which measure fits this business best.Relative to its operating cash profit, Sylvamo looks cheaper than 86% of peers; relative to its free cash flow, cheaper than only 0%. The valuation score blends the two, so look at which measure fits this business best.