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UPDATE: Deutsche Bank Downgrades Rayonier on Significant Downside Risks Ahead

Related RYN
Benzinga's Top Upgrades, Downgrades For August 15, 2017
Inventory Buildups, Subpar Demand To Blame For Rayonier's Downgrade At BMO

In a report published Friday, Deutsche Bank analyst Mark Wilde downgraded the rating on Rayonier (NYSE: RYN) from Hold to Sell, and lowered the price target from $55.00 to $47.00.

In the report, Deutsche Bank noted, “While recent commentary around RYN's timberland and real estate operations has been quite encouraging, outlook for its Cellulose Specialties business (accounts for 72% of segment EBIT) suggests significant downside risks ahead. RYN said recent contract negotiations suggest a drop in 2014 cellulose specialties (CS) prices and slower transition to CS. Beyond lower cashflows, a sharp price drop could dampen bullish “specialty chemicals” valuations that have been floated for the segment. Pick-up in timber & real estate markets may mitigate some downside pressure on stock, but they won't eliminate it. Downgrading RYN from Hold to Sell. PT goes from $55 to $47.”

Rayonier closed on Thursday at $54.96.

Latest Ratings for RYN

Aug 2017BMO CapitalDowngradesOutperformMarket Perform
Feb 2017DA DavidsonDowngradesBuyNeutral
Jan 2017Raymond JamesUpgradesMarket PerformOutperform

View More Analyst Ratings for RYN
View the Latest Analyst Ratings

Posted-In: Deutsche Bank Mark WildeAnalyst Color Downgrades Analyst Ratings


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