Trevor Rose's Insights comment BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research In the last year, ADN saw it's price see a slight drawdown, but total return was up by 3%. ADN continues to be a solid dividend payer with a yield of 7.14% while payout ratio is quite good at 37.36%. From a valuation perspective, trading at 25.9x forward earnigs seems expensive, but it also trades at 0.9x price-to-book which is attractive. We think that ADN could benefit from tailwinds related to housing shortages as well as interest rates being peaked. The lumber industry can experience cyclicality, but we like the industry outlook and it trades at an intriguing valuation multiple. EPS is forecasted to see a drawdown in 2024 but then rebound in 2025.