Plum Creek timber downgraded at Raymond James following guidance cut

|By:, SA News Editor

Speaking on last night's earnings call (transcript), Raymond James analyst Collin Mings focuses in on the company's lowered expectations for housing starts, and questioned management on how it's thinking about 2015. CEO Rick Holley notes most expect a sizable jump in housing starts next year and says a tipping point for an acceleration in price improvement in Southern sawlogs is near.

Mings: "So I guess going back to the last call, where I think you were calling -- for call it 10% move or so in U.S. sawlog prices this year. Is that now safe to say rough math right around 5% type price appreciation this year?" Holley: "That is correct."

Previously: Slowing housing market has Plum Creek easing guidance