Weyerhaeuser (WY) AI Stock Analysis

• Market Cap: $16.93B
• Dividend Yield: 3.54%
• Average Volume (3M): 6.95M
• Price to Earnings (P/E): 51.4
• Beta (1Y): 0.67
• Revenue Growth: -1.64%
• EPS Growth: -37.58%
• Country: US
• Employees: 9,400
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Specialty
• EPS (TTM): 0.06
• Shares Outstanding: 720,861,000
• 10 Day Avg. Volume: 9,568,989
• 30 Day Avg. Volume: 6,953,332
• PEG Ratio: -0.98
• Price to Book (P/B): 2.11
• Price to Sales (P/S): 2.88
• P/FCF Ratio: 60.13
• Enterprise Value/Market Cap: 1.36
• Enterprise Value/Revenue: 3.23
• Enterprise Value/Gross Profit: 18.89
• Enterprise Value/Ebitda: 21.17
• 1Y Price Target: $29.50
• Price Target Upside: 24.42% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 0.16
• Revenue Forecast (FY): $6.94B

• Rating: 66 Neutral
• Price Target: $26.00 ▲(9.66% Upside)

Weyerhaeuser's overall stock score reflects a stable financial position and strategic growth initiatives, but is tempered by challenges in profitability margins and market conditions. The company's high P/E ratio suggests overvaluation, while technical indicators show mixed signals. Positive corporate events and strategic focus on portfolio optimization provide a favorable long-term outlook.

Positive Factors

Sustainable Business Model

Weyerhaeuser's commitment to sustainable forestry and wood products positions it well for long-term growth, aligning with increasing environmental concerns and regulatory standards.

Strategic Growth Initiatives

The company's growth plan through 2030, focusing on portfolio-wide initiatives, indicates a strong strategic direction and potential for significant cash flow and value enhancement.

Biocarbon Partnership

The partnership with Aymium to produce biocarbon represents a structural shift towards sustainable materials, potentially opening new revenue streams and enhancing market position.

Negative Factors

Declining Profitability Margins

The significant decline in profitability margins suggests challenges in maintaining cost efficiency, which could impact long-term financial performance if not addressed.

Weak Housing Market

Ongoing weakness in the housing market could suppress demand for Weyerhaeuser's wood products, affecting revenue growth and profitability in the near to medium term.

Challenging Lumber and OSB Markets

Persistently low lumber and OSB prices pose a risk to the company's revenue and profit margins, necessitating strategic adjustments to mitigate these market challenges.

Weyerhaeuser Business Overview & Revenue Model

Company Description

Weyerhaeuser Company (WY) is one of the largest private owners of timberlands in the United States, focusing on sustainable forestry and wood products. The company operates through two main segments: Timberland and Wood Products. Weyerhaeuser manages approximately 12 million acres of forests and produces a range of products, including lumber, engineered wood products, and panel products, serving various markets such as residential and commercial construction, industrial applications, and more. With a strong commitment to sustainability and environmental stewardship, Weyerhaeuser plays a pivotal role in the forestry and building materials industries.

How the Company Makes Money

Weyerhaeuser generates revenue primarily through the sale of timber and wood products. The Timberland segment earns revenue by managing and harvesting timber for sale to third-party customers or through its own Wood Products segment. The Wood Products segment, in turn, manufactures and sells lumber, oriented strand board (OSB), engineered wood products, and other related goods. Key revenue streams include direct sales to construction companies, wholesalers, and retailers, along with long-term supply agreements with significant partners in the construction industry. The company also benefits from rising demand in the housing market, economic growth, and strategic partnerships that enhance its distribution capabilities, contributing to its overall earnings.

Weyerhaeuser Financial Statement Overview

Summary

Weyerhaeuser shows a stable financial position with low leverage and adequate cash flow generation. However, declining profitability margins and return on equity highlight areas for improvement. The company should focus on enhancing operational efficiency and profitability to drive future growth.

Income Statement

Weyerhaeuser's income statement shows a mixed performance. The TTM data indicates a slight recovery in revenue growth at 0.51% after a decline in the previous year. However, margins have compressed over time, with the gross profit margin decreasing from 40.17% in 2021 to 16.52% in the TTM period. Net profit margin has also declined, reflecting reduced profitability. The company needs to focus on improving operational efficiency to enhance margins.

Balance Sheet

The balance sheet is relatively strong, with a low debt-to-equity ratio of 0.055 in the TTM period, indicating low leverage. However, return on equity has decreased from 24.21% in 2021 to 3.45% in the TTM period, suggesting reduced profitability on equity. The equity ratio remains stable, indicating a solid capital structure.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth, but the company maintains a healthy operating cash flow to net income ratio of 0.68 in the TTM period. The free cash flow to net income ratio is 0.33, indicating that the company generates sufficient cash relative to its net income. Continued focus on cash flow management is essential.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.12B	7.12B	7.67B	10.18B	10.20B	7.53B
Gross Profit	1.22B	1.31B	1.68B	3.62B	4.10B	2.08B
EBITDA	1.09B	1.20B	1.72B	3.06B	4.11B	1.90B
Net Income	331.00M	396.00M	839.00M	1.88B	2.61B	797.00M
Balance Sheet
Total Assets	16.67B	16.54B	16.98B	17.34B	17.65B	16.31B
Cash, Cash Equivalents and Short-Term Investments	401.00M	684.00M	1.16B	1.58B	1.88B	495.00M
Total Debt	5.49B	5.11B	5.09B	5.08B	5.12B	5.50B
Total Liabilities	7.23B	6.82B	6.75B	6.59B	6.88B	7.58B
Stockholders Equity	9.44B	9.72B	10.24B	10.75B	10.77B	8.73B
Cash Flow
Free Cash Flow	299.00M	341.00M	753.00M	2.07B	2.57B	823.00M
Operating Cash Flow	894.00M	1.01B	1.43B	2.83B	3.16B	1.53B
Investing Cash Flow	-984.00M	-636.00M	-508.00M	-759.00M	-325.00M	185.00M
Financing Cash Flow	-408.00M	-852.00M	-1.34B	-2.49B	-1.33B	-1.36B

Weyerhaeuser Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23.71
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WY, the sentiment is Positive. The current price of 23.71 is above the 20-day moving average (MA) of 22.58, above the 50-day MA of 22.67, and below the 200-day MA of 24.94, indicating a neutral trend. The MACD of 0.34 indicates Negative momentum. The RSI at 63.97 is Neutral, neither overbought nor oversold. The STOCH value of 81.59 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WY.

Weyerhaeuser Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RYN	72 Outperform	$3.35B	8.97	38.06%	12.74%	8.88%	131.78%
WY	66 Neutral	$16.93B	51.43	3.42%	3.54%	-1.64%	-37.58%
PCH	66 Neutral	$3.06B	48.46	3.25%	4.60%	5.40%	294.38%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Weyerhaeuser Corporate Events

Weyerhaeuser Unveils 2025 Investor Day Strategy and Outlook

On December 18, 2025, Weyerhaeuser posted new investor presentation materials outlining its 2025 Investor Day agenda, which include updated fourth-quarter pricing information and a strategic roadmap built around its integrated timber, wood products and natural resources portfolio. The materials emphasize the company’s track record of meeting aggressive performance targets, highlight its intention to leverage distinct competitive advantages and integrated operations to drive more than $100 million in annual uplift and incremental Adjusted EBITDA growth by 2030, and underscore its positioning for industry-leading total shareholder returns, signaling a continued focus on disciplined capital allocation and long-term value creation for investors.

Weyerhaeuser Highlights Strategic Growth at Investor Day

On December 11, 2025, Weyerhaeuser Company held its 2025 Investor Day, highlighting its strategic growth plans through 2030. The company emphasized its strong track record of achieving targets and its unique competitive advantages in the timberlands sector. Weyerhaeuser aims to accelerate growth by leveraging its integrated portfolio to generate significant cash flow and improve value across business cycles. The company also announced a new segment name for its Real Estate, Energy & Natural Resources division, effective Q1 2026, and discussed its plans to enhance cash flows through strategic acquisitions and divestitures.

Weyerhaeuser Appoints Richard Beckwitt to Board

Weyerhaeuser Company announced the appointment of Richard Beckwitt to its board of directors, effective November 14, 2025, expanding the board from ten to eleven members. Beckwitt, with extensive experience in the homebuilding and real estate industries, previously held leadership roles at Lennar Corporation and D.R. Horton, Inc. Additionally, on November 13, 2025, Weyerhaeuser’s executive officers entered into new executive severance and change of control agreements, which largely retain the terms of previous agreements, ensuring continuity in executive compensation and benefits.

Weyerhaeuser Launches $1.75 Billion Commercial Paper Program

On November 5, 2025, Weyerhaeuser Company announced the establishment of a commercial paper program allowing the issuance of up to $1.75 billion in short-term unsecured notes. The proceeds from these notes are intended for general corporate purposes, with the program structured to support the company’s financial operations without immediate prepayment options, potentially impacting its liquidity and market positioning.

Weyerhaeuser Updates Q3 2025 Outlook and Investments

On September 25, 2025, Weyerhaeuser Company updated its third-quarter 2025 outlook for certain business segments and shared these materials with the investment community. The company highlighted its progress towards multi-year targets, including significant investments in timberlands and operational improvements, while maintaining strong shareholder returns and sustainability commitments.