I think with the long awaited war against plastic this company has great potential to grow.
The company depends heavily on raw materials such as wood fiber, purchased in the form of pulpwood, wood chips and old corrugated containers (OCC), and certain chemicals, including caustic soda and starch, and energy sources, principally natural gas, coal and fuel oil. Elevated input costs are likely to limit margins in the near term. Further, distribution costs have been on the rise of late due to very tight truck and rail availability, and higher diesel fuel costs. This is likely to affect margins in the near term. Moreover, the company is set to incur elevated operational costs in the Printing Papers, primarily because of unfavorable foreign currency translation.
The company depends heavily on raw materials such as wood fiber, purchased in the form of pulpwood, wood chips and old corrugated containers (OCC), and certain chemicals, including caustic soda and starch, and energy sources, principally natural gas, coal and fuel oil. Elevated input costs are likely to limit margins in the near term. Further, distribution costs have been on the rise of late due to very tight truck and rail availability, and higher diesel fuel costs. This is likely to affect margins in the near term. Moreover, the company is set to incur elevated operational costs in the Printing Papers, primarily because of unfavorable foreign currency translation.
Lord MEDZ