Opinions The Panic-Proof Portfolio (Stockchase Research)
Rayonier Inc.RYNTOP PICKNov 20, 2025
Stock price when the opinion was issued
As of May 29, 2026. Market Open.
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Premium contentPremium contentWe reiterate RYN, a New Zealand based timber REIT with land holdings in the US, as a TOP PICK. The company announced a "merger of equals" with a US based timber company, which will all the new entity to hold 4 million acres in the US. It trades at 1.5x book and boasts annual EPS growth exceeding 30% over the past five years. The dividend is backed by a payout ratio under 50% of cash flow. We like that cash reserves are growing, while debt is reduced and shares bought back. We recommend maintaining the stop at $20, looking to achieve $27 -- upside potential of 18%.
(Analysts’ price target is $26.67)Premium contentWe reiterate this New Zealand based REIT holding US lumber as a TOP PICK. Recently reported earnings showed growing cash reserves after retiring debt and buying back shares with $230 million in free cash flow to spare. The company announced a special dividend of 6.5%, which was paid to holders earlier this month. It trades at 9x earnings, 1.5x book and supports a 38% ROE. We recommend trailing up the stop (from $18) to $20, looking to achieve $27 -- upside potential of 22%. Yield 4.8%
(Analysts’ price target is $27.83)
Lumber and forest products company. Large company had a nice consolidation for 10 months. He is seeing a momentum breakout now. It is just starting to break out so he sees potential and is planning a buying program for this. If the stock drops, he will begin reducing at $33 and be out at $31. At the upside, he thinks the stock can go to $40. (Analysts’ price target is 32.00$)
Have 3 businesses, timber land, real estate and performance pulp. Competitors have dumped pulp on to the market to compete with the specialty fibres that they make. These fibres go into cigarette filters and diapers. Drop in the stock price was really a reflection that this dumping probably will persist for the next 3 years or so. They still have their timberland REIT, which is buying land in New Zealand. Product is shipped directly to China. He is going to Hold because they have been able to execute very well with what they are doing. Timberland situation is not correlated to stocks or bonds and he doesn’t mind bad news in the short term, which will ultimately be better news down the road. 4.3% dividend yield.
David DriscollDavid DriscollDavid DriscollDavid DriscollDavid Driscoll
Arthur Heinmaa
RYN is a REIT setup to manage timber holdings in the US to support logging for New Zealand. Recently reported earnings showed a doubling in earnings over the year allowing cash reserves to grow while shares were bought back. It trades at 9x earnings, 1.5x book and supports a 38% ROE. We recommend setting a stop-loss at $18, looking to achieve $28 -- upside potential of 28%. Yield 3.6%
(Analysts’ price target is $28.83)