Rayonier (RYN) AI Stock Analysis

• Market Cap: $3.67B
• Dividend Yield: 12.79%
• Average Volume (3M): 2.29M
• Price to Earnings (P/E): 9.4
• Beta (1Y): 0.45
• Revenue Growth: 8.88%
• EPS Growth: 131.78%
• Country: US
• Employees: 424
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Specialty
• EPS (TTM): 0.32
• Shares Outstanding: 161,425,610
• 10 Day Avg. Volume: 3,900,300
• 30 Day Avg. Volume: 2,294,473
• PEG Ratio: 0.11
• Price to Book (P/B): 2.20
• Price to Sales (P/S): 3.08
• P/FCF Ratio: 24.42
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 3.49
• Enterprise Value/Gross Profit: 8.14
• Enterprise Value/Ebitda: 7.06
• 1Y Price Target: $27.00
• Price Target Upside: 18.73% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: $26.00 ▲(14.34% Upside)

The score is driven primarily by solid underlying profitability and balance-sheet leverage, but held back by the steep decline in free-cash-flow growth and modest revenue contraction. Valuation is a notable positive (low P/E and high yield), while technical indicators are mildly supportive. Earnings-call guidance and the merger approval add incremental upside, though operational challenges in certain timber markets remain a key risk.

Positive Factors

High Profitability and ROE

Very high TTM margins and a 39% ROE indicate durable operating efficiency and strong returns on equity capital. Sustained margins point to pricing power or low-cost inputs in key timber and real‑estate activities, supporting long‑term reinvestment capacity and shareholder returns.

Real Estate segment strength

Robust Real Estate results and record consolidated adjusted EBITDA reflect durable diversification beyond timber harvesting. Large conservation sales and development activity provide non‑cyclical cash inflows that smooth timber cyclicality, bolstering long‑term earnings stability and capital generation.

Conservative leverage

A debt/equity near 0.46 gives the company financial flexibility to fund maintenance capex, M&A or integration costs while limiting refinancing risk. Relatively light leverage supports resilience through timber market cycles and preserves capacity for strategic investments.

Negative Factors

Severe free cash flow deterioration

An 87% drop in FCF growth signals substantially weaker cash conversion despite accounting profits. Persistently impaired free cash flow can constrain dividends, maintenance capex, and merger integration funding, forcing asset sales or external financing and raising long‑term financial risk.

Pacific Northwest operational weakness

A sharp decline in PNW harvest volumes and EBITDA highlights geographic concentration risk and operational volatility. If regional demand, disposition impacts or mill closures persist, this will reduce segment cash flows and increase overall earnings cyclicality for the combined timber portfolio.

Merger disclosure lawsuits and execution risk

Ongoing disclosure suits and the need for supplemental filings create legal costs, potential delays and added uncertainty around the PotlatchDeltic combination. Such frictions raise the risk that projected $40M synergies are delayed or more costly to realize, affecting strategic upside timing.

Rayonier Business Overview & Revenue Model

Company Description

Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in the United States and New Zealand. As of December 31, 2020, Rayonier owned or leased under long-term agreements approximately 2.7 million acres of timberlands located in the U.S. South (1.73 million acres), U.S. Pacific Northwest (507,000 acres) and New Zealand (417,000 acres). The Company also acts as the managing member in a private equity timber fund business with three funds comprising approximately 141,000 acres. On a look-through basis, the Company's ownership in the timber fund business equates to approximately 17,000 acres.

How the Company Makes Money

Rayonier generates revenue primarily through the sale of timber and the management of its forest resources, which includes harvesting and selling logs to lumber mills and other manufacturers. The Forest Resources segment is a significant revenue driver, capitalizing on long-term contracts and market demand for timber products. Additionally, the Real Estate segment contributes to earnings through land sales and leasing activities, often developing land for residential and commercial projects. The company also benefits from partnerships with other firms in the timber and real estate sectors, enhancing its market reach and operational efficiency. Furthermore, Rayonier's strategic focus on sustainability and responsible land management positions it favorably in an increasingly eco-conscious market, potentially driving additional revenue through green initiatives and certifications.

Rayonier Financial Statement Overview

Summary

Strong profitability (TTM net margin 68.53%, EBIT margin 36.16%) and manageable leverage (debt-to-equity 0.46, ROE 39.17%), but financial quality is tempered by declining revenue growth (-1.58% TTM) and a sharp drop in free cash flow growth (-87.30% TTM), indicating weaker cash generation momentum.

Income Statement

Rayonier's income statement shows strong profitability with a high net profit margin of 68.53% for TTM, indicating efficient cost management. However, the revenue growth rate has declined by 1.58% in the TTM period, which is a concern. The gross profit margin of 41.22% and EBIT margin of 36.16% are robust, reflecting solid operational performance.

Balance Sheet

The balance sheet is stable with a moderate debt-to-equity ratio of 0.46, indicating manageable leverage. The return on equity is impressive at 39.17%, showcasing effective use of equity capital. However, the equity ratio is not available, which limits a comprehensive assessment of asset financing.

Cash Flow

Cash flow analysis reveals a significant decline in free cash flow growth by 87.30% in the TTM period, which is concerning. The operating cash flow to net income ratio of 0.88 suggests adequate cash generation relative to net income. The free cash flow to net income ratio of 0.36 indicates some cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.09B	1.26B	1.06B	909.07M	1.11B	859.15M
Gross Profit	468.52M	478.16M	294.36M	220.79M	313.48M	146.72M
EBITDA	540.17M	553.20M	390.19M	315.73M	425.78M	240.56M
Net Income	775.60M	359.15M	173.49M	107.08M	152.55M	37.08M
Balance Sheet
Total Assets	3.49B	3.47B	3.65B	3.79B	3.64B	3.73B
Cash, Cash Equivalents and Short-Term Investments	919.58M	323.16M	207.70M	114.25M	362.17M	84.51M
Total Debt	1.06B	1.19B	1.45B	1.60B	1.46B	1.46B
Total Liabilities	1.17B	1.64B	1.69B	1.80B	1.69B	1.74B
Stockholders Equity	2.28B	1.77B	1.86B	1.87B	1.77B	1.47B
Cash Flow
Free Cash Flow	211.93M	159.06M	202.87M	-264.10M	70.00M	113.00M
Operating Cash Flow	292.69M	261.59M	298.38M	269.20M	325.10M	204.20M
Investing Cash Flow	1.07B	354.01M	124.09M	-516.40M	-26.30M	-213.60M
Financing Cash Flow	-521.52M	-479.36M	-328.87M	-4.60M	-16.30M	27.00M

Rayonier Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 22.74
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RYN, the sentiment is Neutral. The current price of 22.74 is below the 20-day moving average (MA) of 23.17, above the 50-day MA of 22.23, and above the 200-day MA of 22.51, indicating a neutral trend. The MACD of 0.23 indicates Positive momentum. The RSI at 47.94 is Neutral, neither overbought nor oversold. The STOCH value of 19.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for RYN.

Rayonier Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RYN	75 Outperform	$3.67B	9.37	38.06%	12.79%	8.88%	131.78%
PCH	68 Neutral	$3.23B	51.00	3.25%	4.53%	5.40%	294.38%
WY	66 Neutral	$18.58B	57.57	―	3.57%	-1.64%	-37.58%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Rayonier Corporate Events

Rayonier Shareholders Approve PotlatchDeltic Merger Share Issuance

On January 27, 2026, Rayonier shareholders approved the issuance of new common shares needed to complete the company’s merger with PotlatchDeltic, with sufficient votes cast at a special meeting to render an adjournment proposal unnecessary; on the same day, both companies disclosed that their respective stockholders had cleared all merger-related proposals. The stock-and-cash transaction, expected to close after the market close on January 30, 2026 subject to customary conditions, will see each PotlatchDeltic share converted into 1.8185 Rayonier shares plus $0.61 in cash, leaving existing Rayonier investors with about 54% of the enlarged timber REIT and former PotlatchDeltic holders with 46%, with the combined company initially retaining the Rayonier name and NYSE ticker before rebranding later in the first quarter of 2026.

The most recent analyst rating on (RYN) stock is a Buy with a $27.00 price target. To see the full list of analyst forecasts on Rayonier stock, see the RYN Stock Forecast page.

Rayonier advances PotlatchDeltic merger amid disclosure suits

Rayonier and PotlatchDeltic, which agreed on October 13, 2025 to merge PotlatchDeltic into a Rayonier subsidiary, have moved their all-stock transaction forward with an effective registration statement and joint proxy materials filed on December 23, 2025, ahead of special shareholder meetings set for January 27, 2026. Following the merger announcement, three shareholder lawsuits and multiple demand letters in Washington and New York courts have challenged the adequacy of disclosures in the joint proxy statement/prospectus; while both companies maintain the claims are without merit and that existing disclosures comply with securities laws, they are voluntarily issuing detailed supplemental valuation and financial-analysis disclosures—covering Morgan Stanley and BofA Securities’ DCF assumptions, comparable company sets, analyst price targets, and projected synergies—to moot the claims, reduce costs and delay risk, and keep the planned transaction on track for completion.

The most recent analyst rating on (RYN) stock is a Buy with a $26.00 price target. To see the full list of analyst forecasts on Rayonier stock, see the RYN Stock Forecast page.

Rayonier Announces Merger with PotlatchDeltic Corporation

On October 13, 2025, Rayonier Inc., a North Carolina-based company, announced a merger agreement with PotlatchDeltic Corporation, a Delaware corporation, to combine in an all-stock merger-of-equals transaction. This merger is expected to create a significant impact on both companies’ operations and industry positioning, as it involves the consolidation of their financial information and resources.

The most recent analyst rating on (RYN) stock is a Buy with a $24.50 price target. To see the full list of analyst forecasts on Rayonier stock, see the RYN Stock Forecast page.

Rayonier Revises 2024 Financial Statements Post-Sale

Rayonier Inc. announced revisions to its 2024 financial statements following the sale of its 77% interest in a New Zealand joint venture on June 30, 2025. The company’s New Zealand operations are now classified as discontinued operations, and its reportable segments have been realigned, with the Trading segment’s activities now included in the Southern Timber and Pacific Northwest Timber segments. These changes reflect the company’s strategic shift and compliance with SEC requirements.

The most recent analyst rating on (RYN) stock is a Hold with a $24.00 price target. To see the full list of analyst forecasts on Rayonier stock, see the RYN Stock Forecast page.