"I heard the price of cellulose is going up, so I came to stock up!" Elena Perova/iStock via Getty Images
Valuation
For a market leader, Rayonier (NYSE:RYAM) trades at a surprisingly huge discount to tangible book value. While the share
Rayonier Is Far Too Cheap
Summary
- This industry leader trades for a 53% discount to its tangible book value.
- The problems of last few years appear to now be behind it.
- The effect of recent price and production increases should positively impact the income statement going forward.
Saj Karsan founded an investment and research firm that is based on the principles of value investing. He has an MBA from the Richard Ivey School of Business, has completed all three CFA exams, and has an engineering degree from McGill University. Visit his blog, Barel Karsan (https://barelkarsan.com/).
Analyst’s Disclosure:I/we have a beneficial long position in the shares of RYAM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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