NYSE:CTT

Stock Analysis Report

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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's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.4%

CTT

-4.8%

US REITs

-4.6%

US Market


1 Year Return

-30.3%

CTT

-19.5%

US REITs

11.5%

US Market

Return vs Industry: CTT underperformed the US REITs industry which returned -19.5% over the past year.

Return vs Market: CTT underperformed the US Market which returned 11.5% over the past year.


Shareholder returns

CTTIndustryMarket
7 Day-2.4%-4.8%-4.6%
30 Day-10.2%-4.0%-0.9%
90 Day-19.1%-7.0%2.2%
1 Year-26.4%-30.3%-16.3%-19.5%14.0%11.5%
3 Year-27.2%-37.7%7.0%-5.6%34.5%25.6%
5 Year-6.4%-27.1%30.6%4.4%73.0%53.6%

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?

28.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CTT ($8.09) is trading below our estimate of fair value ($11.32)

Significantly Below Fair Value: CTT is trading below fair value by more than 20%.


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 (2.8x) compared to the US REITs industry average (1.3x).


Next Steps

Future Growth

How is CatchMark Timber Trust forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

68.4%

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 (5.6% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: CTT's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CTT's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

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

-53.3%

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 53.3% 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 (5.9%).


Return on Equity

High ROE: CTT has a negative Return on Equity (-30.18%), as it is currently unprofitable.


Next Steps

Financial Health

How is CatchMark Timber Trust's financial position?


Financial Position Analysis

Short Term Liabilities: CTT's short term assets ($21.9M) exceed its short term liabilities ($6.9M).

Long Term Liabilities: CTT's short term assets ($21.9M) do not cover its long term liabilities ($479.6M).


Debt to Equity History and Analysis

Debt Level: CTT's debt to equity ratio (333.8%) is considered high.

Reducing Debt: CTT's debt to equity ratio has increased from 32.1% to 333.8% 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 34.8% per year.


Next Steps

Dividend

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

6.67%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CTT's dividend (6.67%) is higher than the bottom 25% of dividend payers in the US market (1.71%).

High Dividend: CTT's dividend (6.67%) is in the top 25% of dividend payers in the US market (4.86%)


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 7 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (73.5%), 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?

2.4yrs

Average management tenure


CEO

Brian Davis (51 yo)

0.75

Tenure

US$1,345,492

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 ($USD1.35M) is below average for companies of similar size in the US market ($USD1.94M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Brian Davis
CEO, President & Director0.75yrUS$1.35m0.32%
$ 1.3m
Lesley Solomon
General Counsel & Corporate Secretary2.08yrsUS$863.75k0.074%
$ 291.6k
Todd Reitz
Senior VP & Chief Resources Officer3.58yrsUS$940.67k0.087%
$ 343.1k
Ursula Godoy-Arbelaez
CFO, Senior VP & Treasurer0.75yrno data0.12%
$ 467.3k
Glen Smith
Chief Accounting Office 2.75yrsno datano data
John Rasor
President of Triple T Timberlands2.42yrsUS$890.60kno data
John Capriotti
Vice President of Acquisitions6.92yrsno datano data

2.4yrs

Average Tenure

49yo

Average Age

Experienced Management: CTT's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Brian Davis
CEO, President & Director0.75yrUS$1.35m0.32%
$ 1.3m
Paul Fisher
Independent Director4.75yrsUS$130.01k0.057%
$ 224.6k
Mary McBride
Independent Director2.67yrsUS$133.30k0.011%
$ 42.0k
James DeCosmo
Independent Director0.50yrno data0.021%
$ 83.9k
Douglas Rubenstein
Independent Chairman of the Board0.33yrUS$136.01k0.081%
$ 317.7k
Tim Bentsen
Independent Director0.50yrno data0.0040%
$ 15.7k

0.6yrs

Average Tenure

62.5yo

Average Age

Experienced Board: CTT's board of directors are not considered experienced ( 0.6 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: CTT 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$394.513m
  • Shares outstanding: 48.77m
  • Website: https://www.catchmark.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CTTNYSE (New York Stock Exchange)YesClass A Common StockUSUSDDec 2013
6F7DB (Deutsche Boerse AG)YesClass A Common StockDEEURDec 2013

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 Analysis2020/10/28 23:54
End of Day Share Price2020/10/28 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.