PotlatchDeltic (PCH) AI Stock Analysis

• Market Cap: $3.38B
• Dividend Yield: 4.19%
• Average Volume (3M): 577.29K
• Price to Earnings (P/E): 83.0
• Beta (1Y): 0.74
• Revenue Growth: -1.15%
• EPS Growth: 14.51%
• Country: US
• Employees: 1,383
• Sector: Real Estate
• Sector Strength: 47
• Industry: REIT - Specialty
• EPS (TTM): 0.09
• Shares Outstanding: 77,286,000
• 10 Day Avg. Volume: 518,438
• 30 Day Avg. Volume: 577,291
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.17
• Enterprise Value/Revenue: 3.76
• Enterprise Value/Gross Profit: 36.06
• Enterprise Value/Ebitda: 27.69
• 1Y Price Target: $49.80
• Price Target Upside: 15.92% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 69 Neutral
• Price Target: $46.00 ▲(7.08% Upside)

PotlatchDeltic's overall stock score is driven by its robust technical analysis indicating bullish trends, supported by positive corporate events and strategic initiatives. Financial performance and earnings call reflect stable fundamentals but highlight areas needing improvement. The high P/E ratio raises valuation concerns, partially offset by a strong dividend yield.

Positive Factors

Analyst Recommendation

Analyst upgrades PotlatchDeltic to Buy from Hold, indicating a belief in the company's strong position to benefit from rising lumber prices.

Market Strategy

The company's 'leverage to lumber' strategy and significant capacity make it well-positioned to take advantage of potential price increases in lumber.

Stock Buybacks

PCH repurchased $60mm in 2Q, significantly higher compared to $4mm in 1Q.

Negative Factors

EBITDA Performance

Wood Products EBITDA was near breakeven on lower Lumber prices and higher costs.

Lumber Price Volatility

PotlatchDeltic's stock could begin to appreciate in anticipation of upcoming duties and higher lumber prices, even before the full impact is felt.

PotlatchDeltic Business Overview & Revenue Model

Company Description

PotlatchDeltic (NASDAQ:PCH) is a leading Real Estate Investment Trust (REIT) that owns 1.8 million acres of timberlands in Alabama, Arkansas, Idaho, Louisiana, Minnesota and Mississippi. Through its taxable REIT subsidiary, the company also operates six sawmills, an industrial-grade plywood mill, a residential and commercial real estate development business and a rural timberland sales program. PotlatchDeltic, a leader in sustainable forest management, is committed to environmental and social responsibility and to responsible governance.

How the Company Makes Money

PotlatchDeltic generates revenue through several key streams. Primarily, the company earns money from the sale of timber and wood products, which includes lumber and engineered wood products produced in its manufacturing facilities. The harvesting of timber from its extensive land holdings also constitutes a significant revenue source. Additionally, the company profits from real estate development and sales, as it engages in the sale of residential and commercial properties. PotlatchDeltic has established partnerships with various stakeholders in the construction and real estate sectors, enhancing its market reach. Factors such as timber prices, housing market trends, and effective land management practices also play substantial roles in the company's earnings.

PotlatchDeltic Financial Statement Overview

Summary

PotlatchDeltic demonstrates a balanced financial position with improving revenue and profitability metrics, robust equity, and positive cash flow trends. However, fluctuations in earnings and asset management challenges indicate areas for improvement. Continuous focus on operational efficiency and strategic asset management will be crucial for sustained financial health.

Income Statement

The company experienced a modest revenue growth in the TTM period, with Total Revenue increasing from the previous year. Profitability metrics such as Gross Profit Margin and Net Profit Margin have shown improvement compared to some previous periods, indicating healthy operational performance. However, the decline in revenue from earlier years and fluctuating EBIT and EBITDA margins highlight some volatility in earnings, which could pose risks if not managed carefully.

Balance Sheet

The balance sheet reflects a strong equity position with a stable Debt-to-Equity Ratio, indicating manageable leverage levels. The Equity Ratio is healthy, suggesting that the company has a solid capital structure. However, the reduction in Total Assets and Stockholders' Equity over recent years signals potential challenges in asset management or profitability that need attention.

Cash Flow

The company shows positive Free Cash Flow growth in the TTM period, which is a favorable sign for liquidity. However, the Operating Cash Flow to Net Income Ratio highlights dependency on operational efficiency for cash generation. The historical variation in Free Cash Flow and significant capital expenditures have impacted cash reserves, suggesting a need for careful cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.06B	1.02B	1.33B	1.34B	1.04B
Gross Profit	116.40M	124.50M	523.96M	621.59M	353.15M
EBITDA	33.19M	207.26M	524.95M	615.72M	280.63M
Net Income	21.88M	62.10M	333.90M	423.86M	166.83M
Balance Sheet
Total Assets	3.31B	3.43B	3.55B	2.54B	2.38B
Cash, Cash Equivalents and Short-Term Investments	151.55M	230.12M	343.81M	296.15M	252.34M
Total Debt	1.03B	1.03B	1.03B	758.26M	757.35M
Total Liabilities	1.27B	1.26B	1.29B	1.01B	1.08B
Stockholders Equity	2.04B	2.17B	2.26B	1.53B	1.30B
Cash Flow
Free Cash Flow	67.47M	37.50M	307.10M	429.47M	289.48M
Operating Cash Flow	188.47M	159.11M	491.90M	504.89M	335.26M
Investing Cash Flow	-92.06M	-95.30M	-147.52M	-59.15M	-42.19M
Financing Cash Flow	-182.37M	-171.71M	-295.56M	-401.31M	-124.98M

PotlatchDeltic Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 42.96
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PCH, the sentiment is Positive. The current price of 42.96 is above the 20-day moving average (MA) of 42.03, above the 50-day MA of 40.50, and above the 200-day MA of 41.00, indicating a bullish trend. The MACD of 0.88 indicates Negative momentum. The RSI at 60.86 is Neutral, neither overbought nor oversold. The STOCH value of 85.92 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PCH.

PotlatchDeltic Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RYN	71 Outperform	$4.09B	11.34	36.96%	11.08%	9.90%	137.73%
PCH	69 Neutral	$3.38B	83.00	2.07%	4.19%	-1.15%	14.51%
Sector *	63 Neutral	$6.83B	13.32	-1.02%	7.20%	3.66%	-22.87%
WY	60 Neutral	$18.98B	68.45	2.85%	3.17%	-6.57%	-62.32%

PotlatchDeltic Corporate Events

PotlatchDeltic Releases Strategic Outlook Presentation

On June 2, 2025, PotlatchDeltic Corporation released presentation materials on its website, outlining its strategic positioning and future outlook. The company highlighted its significant leverage to lumber pricing and its focus on sustainable capital allocation, including dividends and share repurchases. PotlatchDeltic aims to capitalize on long-term growth drivers such as increased demand for lumber, housing starts, and natural climate solutions like solar and lithium. The company’s integrated business model and strong balance sheet support its strategic initiatives and position it well for future growth.

The most recent analyst rating on (PCH) stock is a Buy with a $46.00 price target. To see the full list of analyst forecasts on PotlatchDeltic stock, see the PCH Stock Forecast page.