Rayonier Inc. engages in the sale and development of real estate and timberland management, as well as in the production and sale of cellulose fibers in the United States, New Zealand, and Australia. The company was founded in 1926 and is based in Jacksonville, Florida.
RYN Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Rayonier Inc. To summarize, we found that Rayonier Inc ranked in the 57th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 33.67% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for RYN, they are:
Its compound free cash flow growth rate, as measured over the past 5.49 years, is 0.37% -- higher than 73.88% of stocks in our DCF forecasting set.
The business' balance sheet reveals debt to be 25% of the company's capital (with equity being the remaining amount). Approximately 52.37% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
As a business, Rayonier Inc experienced a tax rate of about 10% over the past twelve months; relative to its sector (Real Estate), this tax rate is higher than 83.72% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Rayonier Inc? See GLPI, RVI, CSR, GBCS, and AAT.
Third Avenue Management, a disciplined, value-oriented asset manager and investment fund, published its third-quarter 2020 Investor Letter – a copy of which can be downloaded here. A return of 10.94% was recorded by the fund for the 3rd Quarter of 2020, ahead of its FTSE EPRA NAREIT Developed benchmark that returned 10.32%. You can view the […]
Elevator Pitch I have a Neutral rating on timberland real estate investment trust Rayonier Inc (RYN). Rayonier's recent acquisition of Pope Resources in May 2020 improved the quality of its portfolio, which is validated by a +19% YoY increase in the average delivered sawlog price in 3Q 2020. But the...
The Value Pendulum on Seeking Alpha | January 5, 2021