A Building Material Stock With a Dividend

Boise Cascade Boise Cascade Co. (NYSE: BCC) is a major supplier of wood products and building materials. Its offerings range from engineered wood products, plywood, and particleboard, to lumber and siding for home building. With a recovery underway in the home market, this is an important stock to consider in 2020. Strong earnings performance should attract new investors in the coming weeks.

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The company released its latest quarterly earnings figures in July, surprising analysts with its performance. Earnings were reported at $0.85 per share, compared to the consensus estimate of $0.54 per share. Revenue was strong at $1.24 billion, compared to the consensus estimate of $1.18 billion.

Like many industrial operators, Boise Cascade has been impacted by the Coronavirus Pandemic. The company noted that production was down in the most recent quarter due to supply chain disruptions. Management is now working to restore production to full capacity to meet “strong end-product demand.” Earnings are expected to grow by 5.79% this year. This could lead to an upside in the stock.

The average target price of $50.00 suggests growth for investors who buy now. With a dividend yield of 0.89%, this stock can also generate income in any portfolio. The home market ended a three-month trend of declines in July, creating an opportunity for investors who buy into construction material suppliers. This stock is one to consider in August.

Key Data:

  • 1 Year Price Growth: 40%
  • YTD Price Growth: 80%
  • 3 Month Price Growth: 55%

All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.

 

The reports, research and newsletter are based on current and historical market data, as well as publicly available financial data.They are intended to be a starting point for investors. They do not provide every material fact about a company or industry, nor are they recommendations to buy or sell. The writers and the company make no warranties or representations as to the accuracy of these reports.   You should NOT rely solely upon the information or opinions read in the content. Rather, you should use the content as a starting point for doing independent research on the independent analysis and trading methods in the content. The content is impersonal and does not provide individualized advice or recommendations for any specific reader or individual portfolio. By accessing this website you have agreed to our disclaimers and privacy policy.

 

 

The reports, research and newsletter are based on current and historical market data, as well as publicly available financial data.They are intended to be a starting point for investors. They do not provide every material fact about a company or industry, nor are they recommendations to buy or sell. The writers and the company make no warranties or representations as to the accuracy of these reports.   You should NOT rely solely upon the information or opinions read in the content. Rather, you should use the content as a starting point for doing independent research on the independent analysis and trading methods in the content. The content is impersonal and does not provide individualized advice or recommendations for any specific reader or individual portfolio. By accessing this website you have agreed to our disclaimers and privacy policy.

 

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