PotlatchDeltic Q2 adjusted EPS misses estimates

Overview

• PotlatchDeltic Q2 revenue of $275 mln beats analyst expectations

• Adjusted EPS of $0.09 misses analyst estimates, per LSEG data

• Co repurchased 1.4 mln shares for $55.9 mln, reflecting capital allocation strategy

Outlook

• Company confident in long-term fundamentals supporting product demand

• PotlatchDeltic sees soft demand impacting Wood Products segment

• Company emphasizes strong balance sheet and disciplined capital strategy

Result Drivers

• TIMBERLANDS - Lower stumpage sales and increased forest management costs impacted results

• WOOD PRODUCTS - Segment affected by soft lumber market demand and increased log costs

• REAL ESTATE - Stable performance with land and residential lot sales contributing to revenue

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the specialized reits peer group is "buy"

• Wall Street's median 12-month price target for Potlatchdeltic Corp is $50.50, about 17% above its July 25 closing price of $41.94

• The stock recently traded at 41 times the next 12-month earnings vs. a P/E of 49 three months ago

Press Release: ID:nBw8zFhWZa