Hardwoods Distribution Inc (TSX: HDI), the NA sector company was revisited today, and remains undervalued for at least one analyst on the street. The company received a Buy rating from Canaccord Genuity’s analyst Yuri Lynk, with a C$26 price target.
Lynk noted:
“We are reiterating our BUY rating and C$26.00 one-year target price on Hardwoods following in-line Q2/2018 results which featured a 10% dividend hike. Driven by growing demand for architectural building products from the US housing market, US tax reform, and organic growth initiatives, we see a 16% EPS CAGR from 2017 through 2019. Acquisitions, which have proven to be significantly accretive in the past, represent upside potential to our estimates.”
According to TipRanks.com, Lynk is ranked #516 out of 4850 analysts.
Currently, the analyst consensus on Hardwoods Distribution Inc is a Moderate Buy with an average price target of C$26.
Based on Hardwoods Distribution Inc’s latest earnings release for the quarter ending March 31, the company reported a quarterly net profit of C$8.18 million. In comparison, last year the company had a net profit of C$9.76 million.
Hardwoods Distribution, Inc. engages in the sourcing and distribution of architectural grade building products to the residential and commercial construction sectors. Its products include hardwood lumber, decorative surfaces, and composite panels. It operates through the Canada and United States geographical segments.
The company’s shares closed on Thursday at C$17.76.
