POTLATCHDELTIC CORP (PCH) Stock Fundamental Analysis
NASDAQ:PCH - US7376301039 - REIT
42.66 USD
+1.1 (+2.65%)
42.66 USD
0 (0%)
PCH gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 29 industry peers in the Specialized REITs industry. While PCH seems to be doing ok healthwise, there are quite some concerns on its profitability. PCH is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year PCH was profitable.
In the past year PCH had a positive cash flow from operations.
Each year in the past 5 years PCH has been profitable.
Each year in the past 5 years PCH had a positive operating cash flow.
1.2 Ratios
PCH's Return On Assets of 1.31% is on the low side compared to the rest of the industry. PCH is outperformed by 62.07% of its industry peers.
PCH's Return On Equity of 2.17% is on the low side compared to the rest of the industry. PCH is outperformed by 62.07% of its industry peers.
PCH has a Return On Invested Capital of 1.67%. This is in the lower half of the industry: PCH underperforms 72.41% of its industry peers.
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
With a Profit Margin value of 3.94%, PCH is not doing good in the industry: 65.52% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of PCH has declined.
PCH has a worse Operating Margin (5.90%) than 89.66% of its industry peers.
In the last couple of years the Operating Margin of PCH has declined.
PCH's Gross Margin of 13.79% is on the low side compared to the rest of the industry. PCH is outperformed by 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.
The number of shares outstanding for PCH has been increased compared to 5 years ago.
Compared to 1 year ago, PCH has a worse debt to assets ratio.
2.2 Solvency
PCH has an Altman-Z score of 1.73. 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 1.73. 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.
PCH has a Debt to FCF ratio of 12.23. This is in the better half of the industry: PCH outperforms 62.07% of its industry peers.
PCH has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of PCH (0.48) is better than 86.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 12.23 | ||
| Altman-Z | 1.73 |
ROIC/WACC0.24
WACC7.04%
2.3 Liquidity
PCH has a Current Ratio of 1.13. This is a normal value and indicates that PCH is financially healthy and should not expect problems in meeting its short term obligations.
PCH has a better Current ratio (1.13) than 62.07% of its industry peers.
A Quick Ratio of 0.75 indicates that PCH may have some problems paying 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.
The Revenue has been growing slightly by 5.13% on average over the past years.
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
The Earnings Per Share is expected to grow by 64.10% on average over the next years. This is a very strong growth
Based on estimates for the next years, PCH will show a small growth in Revenue. The Revenue will grow by 3.11% on average per year.
EPS Next Y172.34%
EPS Next 2Y102.64%
EPS Next 3Y64.1%
EPS Next 5YN/A
Revenue Next Year4.52%
Revenue Next 2Y4.06%
Revenue Next 3Y3.11%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 80.49, which means the current valuation is very expensive for PCH.
Based on the Price/Earnings ratio, PCH is valued a bit more expensive than 68.97% of the companies in the same industry.
PCH's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.43.
With a Price/Forward Earnings ratio of 37.10, PCH can be considered very expensive at the moment.
PCH's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.87, PCH is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.49 | ||
| Fwd PE | 37.1 |
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 | 38.52 | ||
| EV/EBITDA | 25.37 |
4.3 Compensation for Growth
PCH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PCH's earnings are expected to grow with 64.10% in the coming years. This may justify a more expensive valuation.
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 4.27%, which is a nice return.
Compared to an average industry Dividend Yield of 5.89, PCH is paying slightly less dividend.
PCH's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.27% |
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.
PCH's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP338.69%
EPS Next 2Y102.64%
EPS Next 3Y64.1%
42.66
+1.1 (+2.65%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners94.98%
Inst Owner Change-0.44%
Ins Owners1.59%
Ins Owner Change1.79%
Market Cap3.30B
Analysts83.33
Price Target52.15 (22.25%)
Short Float %1.53%
Short Ratio2.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.27% |
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)2.25%
EPS NQ rev (1m)27.78%
EPS NQ rev (3m)2.47%
EPS NY rev (1m)-12.88%
EPS NY rev (3m)-14.85%
Revenue NQ rev (1m)1.26%
Revenue NQ rev (3m)8.76%
Revenue NY rev (1m)2.69%
Revenue NY rev (3m)1.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 80.49 | ||
| Fwd PE | 37.1 | ||
| P/S | 3.12 | ||
| P/FCF | 38.52 | ||
| P/OCF | 20.36 | ||
| P/B | 1.72 | ||
| P/tB | 1.73 | ||
| EV/EBITDA | 25.37 |
EPS(TTM)0.53
EY1.24%
EPS(NY)1.15
Fwd EY2.7%
FCF(TTM)1.11
FCFY2.6%
OCF(TTM)2.09
OCFY4.91%
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 | 1.73 |
F-Score7
WACC7.04%
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 Year4.52%
Revenue Next 2Y4.06%
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%