PotlatchDeltic Positioned To Have Earnings Bump When Lumber Prices Normalize
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PotlatchDeltic Corporation (PCH) is undervalued and poised for an earnings increase as lumber prices rise due to declining supply and increasing demand. The company benefits from owning timberlands, giving it a cost advantage over competitors.
December 05, 2024 | 12:15 am
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PotlatchDeltic Corporation is undervalued and expected to see a significant earnings increase as lumber prices rise due to supply constraints and increased demand. The company's ownership of timberlands provides a cost advantage.
PCH is trading at 73% of NAV and is expected to benefit from rising lumber prices due to mill closures and increased demand. The company's ownership of timberlands provides a cost advantage, allowing it to remain profitable and gain market share.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100