12 Best Land and Timber Stocks to Buy According to Analysts

4. PotlatchDeltic Corporation (NASDAQ:PCH)

Average Price Target Upside Potential According to Analysts: 33.13%

Number of Hedge Fund Holders: 28

PotlatchDeltic Corporation (NASDAQ:PCH) is a leading timberland owner and lumber manufacturer in the United States. The company operates seven manufacturing facilities that produce lumber and plywood. Managing nearly 2.2 million acres of timberland across nine states, PotlatchDeltic Corporation (NASDAQ:PCH) is one of the best land stocks to invest in.

In the third quarter of 2024, PotlatchDeltic Corporation (NASDAQ:PCH) reported revenues of $255.1 million and a net income of $3.3 million. This represents a decline from the previous year, when revenues were $265.5 million and net income was $23.7 million. However, the company achieved an adjusted EBITDA of $45.9 million, reflecting an impressive 18% margin, indicating solid operational performance despite market challenges.

A key highlight for PotlatchDeltic Corporation (NASDAQ:PCH) in the third quarter was the completion of its sawmill expansion and modernization project in Waldo, Arkansas. This strategic investment is expected to increase the mill’s capacity by 85 million board feet annually and reduce processing costs by approximately 30%. This facility could generate an additional $25 million in adjusted EBITDA under mid-cycle sales conditions once it is fully operational.

Given its extensive timberland holdings, ongoing capacity enhancements, and solid financial management, PotlatchDeltic Corporation (NASDAQ:PCH) is well-positioned for future growth. These factors make it a compelling investment opportunity in the land and timber sector.