RE:RE:RE:RE:RE:RE:Q3 $0.60 dividendThe third quarter was Norbord strongest quarter ever by 20% ... until they release Q4 results.
Coming into a cyclycally strong period for the housing industry. Single family homes are becoming more desirable and use 3x the amount of osb then multi-family. All of the homes built in the last boom of 2005-2008 are all 10-15 years old and due for major repairs and renovations.
Management doubled the div
Increase share buybacks
Dec 31 2019 - 20m cash and 136 recieveables
Oct 3 2020 - 240m cash and 246 receivables
Q4 will be the best quarter ever meaing Dec 31 will see the 240m cash pile at least double.
Management is being safe and conservative with the cash pile for now because of covid which is the right move.
The market can ignore 1 "best ever" quarter but I don't believe the market can ignore 2 record quarters in a row.
All 4 analysts (CIBC, TD, SCOTIA, RBC) that weighed in this month have a buy rating.
I've been adding in the low 40's (CAD) and I think its a lesser known gem that is 1 more quarter's results away from popping.