POTLATCHDELTIC CORP (PCH) Stock Fundamental Analysis
USA - NASDAQ:PCH - US7376301039 - REIT
42.77 USD
+0.68 (+1.62%)
42.77 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to PCH. PCH was compared to 29 industry peers in the Specialized REITs industry. PCH scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. PCH is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PCH had positive earnings in the past year.
In the past year PCH had a positive cash flow from operations.
Each year in the past 5 years PCH has been profitable.
In the past 5 years PCH always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of PCH (1.31%) is worse than 62.07% of its industry peers.
Looking at the Return On Equity, with a value of 2.17%, PCH is doing worse than 62.07% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.67%, PCH is doing worse than 72.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PCH is in line with the industry average of 4.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 2.17% | ||
| ROIC | 1.67% |
ROA(3y)3.96%
ROA(5y)7.12%
ROE(3y)6.23%
ROE(5y)11.85%
ROIC(3y)4.14%
ROIC(5y)8.06%
1.3 Margins
PCH's Profit Margin of 3.94% is on the low side compared to the rest of the industry. PCH is outperformed by 65.52% of its industry peers.
In the last couple of years the Profit Margin of PCH has declined.
With a Operating Margin value of 5.90%, PCH is not doing good in the industry: 89.66% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of PCH has declined.
PCH has a Gross Margin of 13.79%. This is amonst the worse of the industry: PCH underperforms 86.21% of its industry peers.
PCH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.9% | ||
| PM (TTM) | 3.94% | ||
| GM | 13.8% |
OM growth 3Y-57.6%
OM growth 5Y-21.57%
PM growth 3Y-59.79%
PM growth 5Y-21.1%
GM growth 3Y-38.22%
GM growth 5Y-8.97%
2. Health
2.1 Basic Checks
PCH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PCH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PCH has more shares outstanding
PCH has a worse debt/assets ratio than last year.
2.2 Solvency
PCH has an Altman-Z score of 1.70. This is a bad value and indicates that PCH is not financially healthy and even has some risk of bankruptcy.
PCH has a Altman-Z score of 1.70. This is amongst the best in the industry. PCH outperforms 82.76% of its industry peers.
PCH has a debt to FCF ratio of 12.23. This is a negative value and a sign of low solvency as PCH would need 12.23 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 12.23, PCH is doing good in the industry, outperforming 62.07% of the companies in the same industry.
PCH has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.48, PCH belongs to the top of the industry, outperforming 86.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 12.23 | ||
| Altman-Z | 1.7 |
ROIC/WACC0.24
WACC7%
2.3 Liquidity
A Current Ratio of 1.13 indicates that PCH should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.13, PCH is doing good in the industry, outperforming 62.07% of the companies in the same industry.
PCH has a Quick Ratio of 1.13. This is a bad value and indicates that PCH is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.75, PCH is in line with its industry, outperforming 55.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.72% over the past year.
Measured over the past years, PCH shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -21.34% on average per year.
The Revenue has decreased by -1.15% in the past year.
Measured over the past years, PCH shows a small growth in Revenue. The Revenue has been growing by 5.13% on average per year.
EPS 1Y (TTM)15.72%
EPS 3Y-64.41%
EPS 5Y-21.34%
EPS Q2Q%-47.06%
Revenue 1Y (TTM)-1.15%
Revenue growth 3Y-7.4%
Revenue growth 5Y5.13%
Sales Q2Q%-14.25%
3.2 Future
Based on estimates for the next years, PCH will show a very strong growth in Earnings Per Share. The EPS will grow by 64.10% on average per year.
PCH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.11% yearly.
EPS Next Y172.34%
EPS Next 2Y102.64%
EPS Next 3Y64.1%
EPS Next 5YN/A
Revenue Next Year4.24%
Revenue Next 2Y4.02%
Revenue Next 3Y3.11%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 80.70, the valuation of PCH can be described as expensive.
Based on the Price/Earnings ratio, PCH is valued a bit more expensive than 68.97% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.40, PCH is valued quite expensively.
The Price/Forward Earnings ratio is 37.20, which means the current valuation is very expensive for PCH.
The rest of the industry has a similar Price/Forward Earnings ratio as PCH.
PCH's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.7 | ||
| Fwd PE | 37.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PCH indicates a slightly more expensive valuation: PCH is more expensive than 79.31% of the companies listed in the same industry.
PCH's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.62 | ||
| EV/EBITDA | 25.1 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PCH's earnings are expected to grow with 64.10% in the coming years.
PEG (NY)0.47
PEG (5Y)N/A
EPS Next 2Y102.64%
EPS Next 3Y64.1%
5. Dividend
5.1 Amount
PCH has a Yearly Dividend Yield of 4.32%, which is a nice return.
PCH's Dividend Yield is slightly below the industry average, which is at 6.13.
Compared to an average S&P500 Dividend Yield of 2.38, PCH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
5.2 History
The dividend of PCH has a limited annual growth rate of 2.43%.
PCH has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of PCH decreased recently.
Dividend Growth(5Y)2.43%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
PCH pays out 338.69% of its income as dividend. This is not a sustainable payout ratio.
The dividend of PCH is growing, but earnings are growing more, so the dividend growth is sustainable.
DP338.69%
EPS Next 2Y102.64%
EPS Next 3Y64.1%
42.77
+0.68 (+1.62%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.08%
Inst Owner Change-0.02%
Ins Owners1.59%
Ins Owner Change1.79%
Market Cap3.31B
Analysts83.33
Price Target52.15 (21.93%)
Short Float %2.03%
Short Ratio2.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
Yearly Dividend1.8
Dividend Growth(5Y)2.43%
DP338.69%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)30.77%
Min EPS beat(2)-22.8%
Max EPS beat(2)84.33%
EPS beat(4)3
Avg EPS beat(4)138.72%
Min EPS beat(4)-22.8%
Max EPS beat(4)332.11%
EPS beat(8)5
Avg EPS beat(8)50.77%
EPS beat(12)6
Avg EPS beat(12)28.77%
EPS beat(16)8
Avg EPS beat(16)22.85%
Revenue beat(2)2
Avg Revenue beat(2)6.78%
Min Revenue beat(2)4.52%
Max Revenue beat(2)9.04%
Revenue beat(4)4
Avg Revenue beat(4)5.51%
Min Revenue beat(4)3.68%
Max Revenue beat(4)9.04%
Revenue beat(8)6
Avg Revenue beat(8)3.45%
Revenue beat(12)9
Avg Revenue beat(12)3%
Revenue beat(16)11
Avg Revenue beat(16)2.63%
PT rev (1m)0%
PT rev (3m)2.76%
EPS NQ rev (1m)-4.25%
EPS NQ rev (3m)16.04%
EPS NY rev (1m)0%
EPS NY rev (3m)-12.88%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)9.28%
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)1.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.7 | ||
| Fwd PE | 37.2 | ||
| P/S | 3.13 | ||
| P/FCF | 38.62 | ||
| P/OCF | 20.42 | ||
| P/B | 1.72 | ||
| P/tB | 1.73 | ||
| EV/EBITDA | 25.1 |
EPS(TTM)0.53
EY1.24%
EPS(NY)1.15
Fwd EY2.69%
FCF(TTM)1.11
FCFY2.59%
OCF(TTM)2.09
OCFY4.9%
SpS13.67
BVpS24.87
TBVpS24.7
PEG (NY)0.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.31% | ||
| ROE | 2.17% | ||
| ROCE | 2.11% | ||
| ROIC | 1.67% | ||
| ROICexc | 1.72% | ||
| ROICexgc | 1.73% | ||
| OM | 5.9% | ||
| PM (TTM) | 3.94% | ||
| GM | 13.8% | ||
| FCFM | 8.1% |
ROA(3y)3.96%
ROA(5y)7.12%
ROE(3y)6.23%
ROE(5y)11.85%
ROIC(3y)4.14%
ROIC(5y)8.06%
ROICexc(3y)4.57%
ROICexc(5y)9.07%
ROICexgc(3y)4.61%
ROICexgc(5y)9.16%
ROCE(3y)5.24%
ROCE(5y)10.2%
ROICexcg growth 3Y-64.93%
ROICexcg growth 5Y-23.51%
ROICexc growth 3Y-64.88%
ROICexc growth 5Y-23.44%
OM growth 3Y-57.6%
OM growth 5Y-21.57%
PM growth 3Y-59.79%
PM growth 5Y-21.1%
GM growth 3Y-38.22%
GM growth 5Y-8.97%
F-Score7
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 12.23 | ||
| Debt/EBITDA | 5.46 | ||
| Cap/Depr | 72.58% | ||
| Cap/Sales | 7.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.66% | ||
| Profit Quality | 205.43% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 1.7 |
F-Score7
WACC7%
ROIC/WACC0.24
Cap/Depr(3y)84.43%
Cap/Depr(5y)74.94%
Cap/Sales(3y)8.55%
Cap/Sales(5y)6.71%
Profit Quality(3y)214.85%
Profit Quality(5y)185.66%
High Growth Momentum
Growth
EPS 1Y (TTM)15.72%
EPS 3Y-64.41%
EPS 5Y-21.34%
EPS Q2Q%-47.06%
EPS Next Y172.34%
EPS Next 2Y102.64%
EPS Next 3Y64.1%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.15%
Revenue growth 3Y-7.4%
Revenue growth 5Y5.13%
Sales Q2Q%-14.25%
Revenue Next Year4.24%
Revenue Next 2Y4.02%
Revenue Next 3Y3.11%
Revenue Next 5YN/A
EBIT growth 1Y91.16%
EBIT growth 3Y-60.73%
EBIT growth 5Y-17.55%
EBIT Next Year890.69%
EBIT Next 3Y129%
EBIT Next 5YN/A
FCF growth 1Y-38.73%
FCF growth 3Y-39.45%
FCF growth 5Y3.93%
OCF growth 1Y-14.82%
OCF growth 3Y-28%
OCF growth 5Y6.26%