PotlatchDeltic initiated with a Buy at Citi

Citi analyst Anthony Pettinari initiated coverage of PotlatchDeltic with a Buy rating and $52 price target. PotlatchDeltic has an attractive portfolio of timberlands in Idaho and the U.S. South, recently bolstered by the acquisition of CatchMark, the analyst tells investors in a research note. Lumber price indexing in the North and natural log price hedging in the South make the company the timber real estate investment trust most exposed to lumber prices, the firm contends. It estimates lumber bottomed in Q4 of 2022 and models modest improvement through the year.