NYSE:RYN

Stock Analysis Report

Executive Summary

Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in the United States and New Zealand.

Snowflake

Fundamentals

Moderate growth potential with questionable track record.


Similar Companies

Share Price & News

How has Rayonier's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RYN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.5%

RYN

1.5%

US REITs

0.7%

US Market


1 Year Return

-5.9%

RYN

14.3%

US REITs

12.9%

US Market

Return vs Industry: RYN underperformed the US REITs industry which returned 14.3% over the past year.

Return vs Market: RYN underperformed the US Market which returned 12.9% over the past year.


Shareholder returns

RYNIndustryMarket
7 Day0.5%1.5%0.7%
30 Day3.6%-1.9%4.4%
90 Day10.1%1.3%7.0%
1 Year-2.4%-5.9%19.1%14.3%15.4%12.9%
3 Year22.5%10.6%41.3%23.7%49.1%39.5%
5 Year32.7%10.5%57.6%24.8%62.7%44.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Rayonier undervalued compared to its fair value and its price relative to the market?

5.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RYN ($29.76) is trading below our estimate of fair value ($31.42)

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


Price To Earnings Ratio

PE vs Industry: RYN is poor value based on its PE Ratio (85.3x) compared to the REITs industry average (38.2x).

PE vs Market: RYN is poor value based on its PE Ratio (85.3x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: RYN is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: RYN is overvalued based on its PB Ratio (2.7x) compared to the US REITs industry average (2x).


Next Steps

Future Growth

How is Rayonier forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

34.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RYN's forecast earnings growth (34.2% per year) is above the savings rate (2.7%).

Earnings vs Market: RYN's earnings (34.2% per year) are forecast to grow faster than the US market (14.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: RYN's revenue (3.3% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: RYN's revenue (3.3% 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 RYN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Rayonier performed over the past 5 years?

8.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RYN has high quality earnings.

Growing Profit Margin: RYN's current net profit margins (6.5%) are lower than last year (18.5%).


Past Earnings Growth Analysis

Earnings Trend: RYN's earnings have grown by 8.6% per year over the past 5 years.

Accelerating Growth: RYN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RYN had negative earnings growth (-72.6%) over the past year, making it difficult to compare to the REITs industry average (8.7%).


Return on Equity

High ROE: RYN's Return on Equity (3.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Rayonier's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: RYN has a high level of physical assets or inventory.

Debt Coverage by Assets: RYN's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: RYN's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if RYN has a sufficient allowance for bad loans.

Low Risk Liabilities: RYN reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if RYN has an acceptable proportion of non-loan assets held.

Low Risk Deposits: RYN has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if RYN has an appropriate level of bad loans.


Next Steps

Dividend

What is Rayonier's current dividend yield, its reliability and sustainability?

3.63%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Rayonier before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company3.6%marketbottom25%1.4%markettop25%3.6%industryaverage3.7%forecastin3Years3.6%

Current dividend yield vs market & industry

Notable Dividend: RYN's dividend (3.63%) is higher than the bottom 25% of dividend payers in the US market (1.42%).

High Dividend: RYN's dividend (3.63%) is low compared to the top 25% of dividend payers in the US market (3.65%).


Stability and Growth of Payments

Stable Dividend: RYN's dividend payments have been volatile in the past 10 years.

Growing Dividend: RYN's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (66.2%), RYN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RYN's dividends in 3 years are not forecast to be well covered by earnings (182.2% payout ratio).


Next Steps

Management

What is the CEO of Rayonier's salary, the management and board of directors tenure and is there insider trading?

4.9yrs

Average management tenure


CEO

Dave Nunes (57yo)

5.4yrs

Tenure

US$4,318,498

Compensation

Mr. David L. Nunes, also known as Dave, has been Chief Executive Officer, President and Director at Rayonier Inc. since June 30, 2014. Previously, Mr. Nunes served as the Chief Operating Officer at Rayonie ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD4.32M) is about average for companies of similar size in the US market ($USD5.11M).

Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.9yrs

Average Tenure

48yo

Average Age

Experienced Management: RYN's management team is considered experienced (4.9 years average tenure).


Board Age and Tenure

5.4yrs

Average Tenure

58yo

Average Age

Experienced Board: RYN's board of directors are considered experienced (5.4 years average tenure).


Insider Trading

Insider Buying: RYN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$52,68328 Aug 19
Andrew Wiltshire
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$26.34
BuyUS$274,45814 Aug 19
David Nunes
EntityIndividual
Role
Chief Executive Officer
President
Shares10,500
Max PriceUS$26.14
SellUS$3,26408 May 19
David Nunes
EntityIndividual
Role
Chief Executive Officer
President
Shares100
Max PriceUS$32.65
SellUS$326,21308 May 19
Mark McHugh
EntityIndividual
Role
Chief Financial Officer
Senior VP & CFO
Shares10,000
Max PriceUS$32.62

Ownership Breakdown

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


Management Team

  • Dave Nunes (57yo)

    President

    • Tenure: 5.4yrs
    • Compensation: US$4.32m
  • Chris Corr (55yo)

    Senior Vice President of Real Estate Development

    • Tenure: 1.8yrs
    • Compensation: US$963.91k
  • Mark Bridwell (57yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 5.4yrs
    • Compensation: US$1.01m
  • Shelby Pyatt (48yo)

    Vice President of Human Resources & Information Technology

    • Tenure: 5.3yrs
    • Compensation: US$433.37k
  • Doug Long (48yo)

    Senior Vice President of Forest Resources

    • Tenure: 3.9yrs
    • Compensation: US$1.09m
  • Mark McHugh (43yo)

    Senior VP & CFO

    • Tenure: 4.9yrs
    • Compensation: US$1.60m
  • April Tice (45yo)

    Director of Financial Services & Corporate Controller

    • Tenure: 3yrs

Board Members

  • Richard Kincaid (57yo)

    Chairman of the Board

    • Tenure: 5.4yrs
    • Compensation: US$226.00k
  • Dave Nunes (57yo)

    President

    • Tenure: 5.4yrs
    • Compensation: US$4.32m
  • Dod Fraser (69yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$187.13k
  • Bernie Lanigan (71yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$168.50k
  • Scott Jones (60yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$173.02k
  • Keith Bass (55yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$172.39k
  • V. Martin (55yo)

    Independent Director

    • Tenure: 12.3yrs
    • Compensation: US$170.00k
  • Blanche Lincoln (58yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: US$164.00k
  • Andrew Wiltshire (61yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$169.13k

Company Information

Rayonier Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rayonier Inc.
  • Ticker: RYN
  • Exchange: NYSE
  • Founded: 1926
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Market Cap: US$3.839b
  • Shares outstanding: 129.00m
  • Website: https://www.rayonier.com

Number of Employees


Location

  • Rayonier Inc.
  • Wildlight
  • 1 Rayonier Way
  • Yulee
  • Florida
  • 32097
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RYNNYSE (New York Stock Exchange)YesCommon SharesUSUSDFeb 1994
RA6DB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 1994

Biography

Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in the United States and New Zealand. As of September 30, 20 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/16 23:40
End of Day Share Price2019/11/15 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.