NYSE:CTT

Stock Analysis Report

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Market Cap

US$564.3m

Last Updated

2021/08/03 23:20 UTC

Data Sources

Company Financials +

Executive Summary

CatchMark (NYSE: CTT) seeks to deliver consistent and growing per share cash flow from disciplined acquisitions and superior management of prime timberlands located in high demand U.S. More Details


Snowflake Analysis

Second-rate dividend payer with mediocre balance sheet.


Similar Companies

Share Price & News

How has CatchMark Timber Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CTT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CTT's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-1.7%

CTT

-0.5%

US REITs

0.9%

US Market


1 Year Return

20.2%

CTT

30.1%

US REITs

34.7%

US Market

Return vs Industry: CTT underperformed the US REITs industry which returned 31.8% over the past year.

Return vs Market: CTT underperformed the US Market which returned 34.4% over the past year.


Shareholder returns

CTTIndustryMarket
7 Day-1.7%-0.5%0.9%
30 Day-0.7%3.2%0.2%
90 Day-0.5%10.0%4.7%
1 Year26.4%20.2%34.4%30.1%36.8%34.7%
3 Year9.7%-6.6%44.9%28.7%62.5%52.4%
5 Year20.7%-6.2%52.1%22.8%123.1%98.4%

Long-Term Price Volatility Vs. Market

How volatile is CatchMark Timber Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is CatchMark Timber Trust undervalued compared to its fair value and its price relative to the market?

10.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CTT ($11.54) is trading below our estimate of fair value ($12.87)

Significantly Below Fair Value: CTT is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CTT is unprofitable, so we can't compare its PE Ratio to the US REITs industry average.

PE vs Market: CTT is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CTT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CTT is overvalued based on its PB Ratio (4.1x) compared to the US REITs industry average (1.9x).


Future Growth

How is CatchMark Timber Trust forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

7.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CTT is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CTT is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CTT is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CTT's revenue (0.6% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: CTT's revenue (0.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CTT is forecast to be unprofitable in 3 years.


Past Performance

How has CatchMark Timber Trust performed over the past 5 years?

-26.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTT is currently unprofitable.

Growing Profit Margin: CTT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CTT is unprofitable, and losses have increased over the past 5 years at a rate of 26.5% per year.

Accelerating Growth: Unable to compare CTT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CTT is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (-9.9%).


Return on Equity

High ROE: CTT has a negative Return on Equity (-9.98%), as it is currently unprofitable.


Financial Health

How is CatchMark Timber Trust's financial position?


Financial Position Analysis

Short Term Liabilities: CTT's short term assets ($26.2M) exceed its short term liabilities ($5.7M).

Long Term Liabilities: CTT's short term assets ($26.2M) do not cover its long term liabilities ($456.2M).


Debt to Equity History and Analysis

Debt Level: CTT's debt to equity ratio (326.4%) is considered high.

Reducing Debt: CTT's debt to equity ratio has increased from 49.1% to 326.4% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable CTT has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CTT is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 45.9% per year.


Dividend

What is CatchMark Timber Trust current dividend yield, its reliability and sustainability?

4.68%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CTT's dividend (4.68%) is higher than the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: CTT's dividend (4.68%) is in the top 25% of dividend payers in the US market (3.57%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CTT has been paying a dividend for less than 10 years.

Growing Dividend: CTT's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64%), CTT's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Brian Davis (52 yo)

1.58yrs

Tenure

US$1,813,071

Compensation

Mr. Brian M. Davis serves as President of CatchMark Timber Trust, Inc. since April 04, 2019 and is its Chief Executive Officer since January 21, 2020. He was Chief Financial Officer of CatchMark Timber Tru...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD1.81M) is about average for companies of similar size in the US market ($USD1.72M).

Compensation vs Earnings: Brian's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: CTT's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: CTT's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CatchMark Timber Trust, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CatchMark Timber Trust, Inc.
  • Ticker: CTT
  • Exchange: NYSE
  • Founded: 2005
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Market Cap: US$564.349m
  • Shares outstanding: 48.90m
  • Website: https://www.catchmark.com

Number of Employees


Location

  • CatchMark Timber Trust, Inc.
  • 5 Concourse Parkway
  • Suite 2650
  • Atlanta
  • Georgia
  • 30328
  • United States

Listings


Biography

CatchMark (NYSE: CTT) seeks to deliver consistent and growing per share cash flow from disciplined acquisitions and superior management of prime timberlands located in high demand U.S. mill markets. Concen...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/03 23:20
End of Day Share Price2021/08/03 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.