Earnings Alerts

1Q Earnings Outshine Estimates: A Closer Look at Weyerhaeuser Co (WY) Performance

• Weyerhaeuser’s 1Q adjusted EPS beat estimates with 16c against the estimated 15c and last year’s 21c.

• Total net sales were down by 4.5% y/y to reach $1.80 billion, slightly missing the estimated $1.86 billion.

• Net Sales from Timberlands took a 14% dip y/y to hit $521 million, however, this was much higher than the estimated $394.2 million.

• Real Estate, Energy & Natural Resources reported net sales of $107 million, representing a y/y increment of 5.9%, and beating the $93.3 million estimate.

• Wood Products net sales totalled $1.30 billion, dropping 1.2% y/y and falling short of the $1.37 billion estimate.

• Adjusted EBITDA was at $352 million, a decrease of 11% y/y but above the estimate of $345.9 million.

• Timberlands’ adjusted EBITDA fell by 23% y/y to $144 million, just shy off the $144.8 million estimate.

• Real Estate, Energy & Natural Resources sector’s adjusted EBITDA saw a 5.6% y/y increase to $94 million, surpassing the $81.1 million estimate.

• Wood Products sector experienced a 24% y/y increase in adjusted EBITDA to reach $184 million, barely beating the estimated $183.3 million.

• Capital expenditure rose by 11% y/y to $79 million, which was lower than the estimated $87.1 million.

• Current ratings stand at 6 buys, 7 holds, with 0 sells.


A look at Weyerhaeuser Co Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth3
Resilience3
Momentum3
OVERALL SMART SCORE3.0

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Weyerhaeuser Co, an integrated forest products company with a global presence, has received neutral scores across the board on the Smartkarma Smart Scores. With scores of 3 in Value, Dividend, Growth, Resilience, and Momentum, the company appears to be positioned steadily in these key areas. As a real estate investment trust (REIT), Weyerhaeuser focuses on tree growth and harvest, real estate development, and forest product manufacturing. This balanced assessment from Smartkarma indicates a stable long-term outlook for the company.

In the evolving landscape of the forest products industry, Weyerhaeuser Co seems to have a solid foundation, as reflected in its consistent scores for various factors. While not excelling in any particular area, the company’s across-the-board average scores suggest a well-rounded approach to its operations. As an established player in the sector, Weyerhaeuser’s ability to maintain moderate scores across Value, Dividend, Growth, Resilience, and Momentum signifies a poised stance for sustainable growth and resilience in the long term.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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