Brief Commentary On PotlatchDeltic Corporation’s (NASDAQ:PCH) Fundamentals

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I’ve been keeping an eye on PotlatchDeltic Corporation (NASDAQ:PCH) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe PCH has a lot to offer. Basically, it is a financially-sound , dividend-paying company with a a great history of performance. Below, I’ve touched on some key aspects you should know on a high level. For those interested in digger a bit deeper into my commentary, take a look at the report on PotlatchDeltic here.

Proven track record with adequate balance sheet and pays a dividend

PCH delivered a bottom-line expansion of 27.5% in the prior year, with its most recent earnings level surpassing its average level over the last five years. In addition to beating its historical values, PCH also outperformed its industry, which delivered a growth of 5.4%. This is an optimistic signal for the future. PCH’s ability to maintain an adequate level of cash to meet upcoming liabilities is a good sign for its financial health. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. PCH seems to have put its debt to good use, generating operating cash levels of 0.23x total debt in the most recent year. This is also a good indication as to whether debt is properly covered by the company’s cash flows.

NasdaqGS:PCH Income Statement Export September 28th 18
NasdaqGS:PCH Income Statement Export September 28th 18

PCH is considered one of the top dividend payers in the market, and its profitability ensures that dividends are well-covered by its net income.

NasdaqGS:PCH Historical Dividend Yield September 28th 18
NasdaqGS:PCH Historical Dividend Yield September 28th 18

Next Steps:

For PotlatchDeltic, there are three essential aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for PCH’s future growth? Take a look at our free research report of analyst consensus for PCH’s outlook.

  2. Valuation: What is PCH worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether PCH is currently mispriced by the market.

  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of PCH? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.

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