Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, timberland operator Plum Creek Timber (NYSE: PCL ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Plum Creek's business and see what CAPS investors are saying about the stock right now.
Plum Creek facts
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Headquarters (Founded)
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Seattle (1989)
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Market Cap
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$5.29 billion
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Industry
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Real Estate Investment Trust (REIT)
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Trailing-12-Month Revenue
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$1.5 billion
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Management
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CEO Rick Holley (since 1999)
CFO David Lambert (since 2006)
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Return on Equity (Average, Past 3 Years)
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14.8%
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Cash/Debt
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$351 million / $2.79 billion
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Dividend Yield
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5.2%
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Competitors
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Weyerhaeuser (NYSE: WY )
Potlach
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CAPS Members Bullish on PCL Also Bullish on
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Procter & Gamble (NYSE: PG )
Johnson & Johnson (NYSE: JNJ )
General Electric (NYSE: GE )
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CAPS Members Bearish on PCL Also Bearish on
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Simon Property Group (NYSE: SPG )
Citigroup (NYSE: C )
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Sources: Capital IQ (a division of Standard & Poor's), Yahoo! Finance, and Motley Fool CAPS.
On CAPS, 93.6% of the 630 members who have rated Plum Creek believe the stock will outperform the S&P 500 going forward. These bulls include RayRayP and CAPS All-Star sandvig, who is ranked in the top 0.5% of our community.
Less than two weeks ago, RayRayP strongly advised Fools to not knock wood:
Plum Creek is a strong diversified company. ... I have watched it grow in a good and bad economy. They own lots of timber, which grows every year. [M]oney may not grow on trees, but when trees grow their value increases. They are a large land holder. Real estate is a product that cannot be reproduced.
In an earlier pitch, sandvig shows he can see the forest for the trees:
Sooner or later, people will want new homes, and builders will build new homes. When that happens, they will need lumber. Until then, it is a great time to watch your trees grow and collect a nice dividend. It is an aspect of the construction materials industry where it is relatively inexpensive to sit on the sidelines until things get better.
What do you think about Plum Creek, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!
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