Earnings Alerts

Weyerhaeuser Co (WY) Earnings: 2Q Adjusted EPS Surpasses Expectations Amid Mixed Sales Performance

  • Weyerhaeuser’s second-quarter adjusted earnings per share (EPS) were 12 cents, higher than the estimated 9.3 cents, but down from 21 cents year-over-year (y/y).
  • Net sales reached $1.88 billion, a slight decrease of 2.8% compared to the previous year, but exceeded the estimated $1.85 billion.
  • Timberlands net sales were $529 million, a decrease of 4.7% y/y, yet surpassed the estimate of $522.1 million.
  • In Real Estate, Energy & Natural Resources, net sales rose to $154 million, marking a 41% increase y/y, beating the $146.2 million estimate.
  • Wood Products net sales amounted to $1.36 billion, declining by 4.5% y/y, but still higher than the estimated $1.32 billion.
  • Adjusted EBITDA totaled $336 million, an 18% decrease y/y, slightly below the estimate of $338 million.
  • Timberlands adjusted EBITDA was steady at $152 million, up 3.4% y/y, closely matching the $152.3 million estimate.
  • Real Estate, Energy & Natural Resources adjusted EBITDA surged by 40% y/y to $143 million, exceeding the $132.4 million forecast.
  • Wood Products adjusted EBITDA fell sharply by 55% y/y to $101 million, falling short of the estimated $116.6 million.
  • Capital expenditure increased by 18% y/y to $107 million.
  • The company’s stock ratings include 11 buy recommendations, 3 holds, and no sell ratings.

A look at Weyerhaeuser Co Smart Scores

FactorScoreMagnitude
Value3
Dividend4
Growth2
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

Analysts at Smartkarma have assessed Weyerhaeuser Co‘s long-term outlook using their proprietary Smart Scores. With a solid overall picture painted by a combination of factors, the company seems positioned for stable growth. Weyerhaeuser scored well in dividend yield and resilience, indicating a strong ability to weather market fluctuations and provide regular returns to investors.

While scoring lower in growth and momentum, which suggest potential areas for improvement, Weyerhaeuser’s blend of value and consistent dividends could make it an attractive long-term investment option. Classified as a Real Estate Investment Trust (REIT), the company’s diverse operations in forestry, real estate development, and forest products bolster its position in the market. Overall, with a mix of steady value and reliable dividends, Weyerhaeuser Co appears poised to maintain its position as a strong player in the industry.


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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