Weyerhaeuser Company
Exchange: NYSESector: Real EstateIndustry: REIT - Specialty
Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. We own or control approximately 11 million acres of timberlands in the U.S. and manage additional timberlands under long-term licenses in Canada. We manage these timberlands on a sustainable basis in compliance with internationally recognized forestry standards. We are also one of the largest manufacturers of wood products in America. Our company is a real estate investment trust. In 2020, we generated $7.5 billion in net sales and employed approximately 9,400 people who serve customers worldwide. Our common stock trades on the New York Stock Exchange under the symbol WY.
Did you know?
Generated $0.0 in free cash flow for every $1 of capital expenditure in FY25.
Current Price
$23.99
-2.16%GoodMoat Value
$4.40
81.7% overvaluedProfile
Valuation (TTM)
Market Cap$17.29B
P/E43.55
EV$21.80B
P/B1.83
Shares Out720.66M
P/Sales2.52
Revenue$6.87B
EV/EBITDA20.14
Weyerhaeuser Company (WY) Stock Analysis
GoodMoat Analysis
Weyerhaeuser appears unfavourable from a value investing perspective. The business shows a low Moat Score and weak Quality Indicators, failing the initial gate of the Decision Framework. Its current price is significantly above the GoodMoat Target, indicating a lack of margin of safety.
Read full analysis
Weyerhaeuser Company is a Real Estate Investment Trust (REIT) specializing in timberland ownership and wood products manufacturing. Applying the GoodMoat Investment Framework, the company's competitive advantages are limited. A formal Moat Score would likely be low, as the business model, while asset-heavy, does not strongly exhibit many of the 14 defined moat criteria such as network effects, high switching costs, or proprietary technology. Its scale in timberland is an advantage but may not constitute a wide, durable moat against commodity price cycles. The Quality Indicators are weak. Key metrics like an ROE of 3.4% and a Profit Margin of 4.7% are far below the high-return thresholds for a quality business. Revenue growth is negative at -9.8% YoY, and the Free Cash Flow Yield is minimal at 0.1%. The P/E of 52.6 is extremely high for a company with this growth and profitability profile. According to the Decision Framework, a business must first pass the 'Moat & Quality Gate' (Moat Score ≥ 5 and predominantly Strong quality ratings) to warrant further valuation analysis. Weyerhaeuser's operational and financial data suggest it fails this initial gate. Furthermore, the valuation is unfavourable, with the current price of $23.65 being substantially above the GoodMoat Target of $4.40, indicating no margin of safety. For a value investor focused on durable advantages and attractive prices, this company does not meet the foundational criteria for further investigation. Analysis based on data as of 2024-07-20.
Market Cap$17.29B
Current Price$23.99
P/E Ratio43.55
Forward P/E—
PEG Ratio0.44
EPS$0.45
Book Value$13.08
P/B Ratio1.83
WY Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use -45.1% FCF growth (CAGR)
Cash vs Debt
Net Debt: 5.1B
Revenue
6.6B
FY19
7.5B
FY20
10.2B
FY21
10.2B
FY22
7.7B
FY23
7.1B
FY24
6.9B
FY25
Net Income
—
FY19
797M
FY20
2.6B
FY21
1.9B
FY22
839M
FY23
396M
FY24
324M
FY25
WY 52-Week Range
$20.97
$26.87
50-Day MA: $24.27200-Day MA: $24.22
Did you know?
Pays a 3.51% dividend yield.
Weyerhaeuser Company (WY) Financial Summary
Weyerhaeuser Company (WY) is a Real Estate company in the REIT - Specialty industry, listed on NYSE. The stock currently trades at $23.99 with a market capitalization of $17.29B.
Key valuation metrics include a P/E ratio of 43.55, price-to-book ratio of 1.83, and EPS of $0.45. The company reports a profit margin of 5.8% and return on equity of 4.2%.
WY Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $17.29B |
| P/E Ratio | 43.55 |
| EPS | $0.45 |
| P/B Ratio | 1.83 |
| P/S Ratio | 2.52 |
| EV/EBITDA | 20.14 |
| Dividend Yield | 3.51% |
| Profit Margin | 5.8% |
| Return on Equity | 4.2% |
| Debt/Equity | 0.59 |
WY Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $6.55B | $-76.00M |
| FY20 | $7.53B | $797.00M |
| FY21 | $10.20B | $2.61B |
| FY22 | $10.18B | $1.88B |
| FY23 | $7.67B | $839.00M |
| FY24 | $7.12B | $396.00M |
| FY25 | $6.91B | $324.00M |
Weyerhaeuser Company (WY) Valuation
Based on GoodMoat's DCF model, Weyerhaeuser Company has a fair value estimate of $4.40. At the current price of $23.99, the stock appears 445.3% overvalued relative to our intrinsic value estimate.
WY Quality Indicators
Weyerhaeuser Company maintains a profit margin of 5.8% and an operating margin of 10.6%. Return on equity stands at 4.2%. The current ratio is 1.29. Debt-to-equity ratio is 0.59.
About Weyerhaeuser Company
Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. We own or control approximately 11 million acres of timberlands in the U.S. and manage additional timberlands under long-term licenses in Canada. We manage these timberlands on a sustainable basis in compliance with internationally recognized forestry standards. We are also one of the largest manufacturers of wood products in America. Our company is a real estate investment trust. In 2020, we generated $7.5 billion in net sales and employed approximately 9,400 people who serve customers worldwide. Our common stock trades on the New York Stock Exchange under the symbol WY.
WY Free Cash Flow
Weyerhaeuser Company generated $24.00M in trailing twelve-month free cash flow, representing an FCF yield of 0.14%. This low FCF yield may reflect heavy reinvestment or growth spending.
WY Shares Outstanding
Weyerhaeuser Company has 0.72 billion shares outstanding at a share price of $23.99, giving it a market capitalization of $17.29B.
WY Recent Insider Trades
Recent insider transactions at Weyerhaeuser Company include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| O'Rourke James Calvin (Director) | BUY | 4,000 | $101400.00 |
| BECKWITT RICHARD (Director) | BUY | 20,000 | $514000.00 |
| Chaney Brian K (Senior Vice President) | SELL | 11,157 | $288036.92 |