Weyerhaeuser Company (WY): A Fundamentally Weighted Stock for Long-Term Investors

Shares of Weyerhaeuser Company (NYSE:WY) recorded 1.54% gain during trading session on August 13th, 2019. The script traded as low as $24.57 and last traded at $25.09. 2.92 million shares changed exchanged hands during trading, an increase of 42.22% from the 30-day average session volume of 5.05M shares. The firm had previously closed at $24.71. The company has $756.97M outstanding shares, price-to-earnings-growth ratio of 2.76and a beta of 1.66. The company has a RSI of 48.05, ATR of 0.61 and a volatility of 2.66% this week. WY has a 52 week low price of $20.52 and a 52 week high price of $35.79.

Investors have identified the tech company Weyerhaeuser Company as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 18.99B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.

Weyerhaeuser Company (WY) Fundamentals that are to be considered.

When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For WY, the company has in raw cash 212 million on their books with 271 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 0 total, with 744.93 million as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.

WY were able to record 239 million as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 122 million. In cash movements, the company had a total of 382 million as operating cash flow.

Potential earnings growth for Weyerhaeuser Company (WY)

In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Weyerhaeuser Company recorded a total of 1.69 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -0.22% coming in sequential stages and their sales for the third quarter increasing by 0.03%.

What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 1.39 billion trying to sell their products during the last quarter, with the result yielding a gross income of 302 million. This allows shareholders to hold on to 756.97M with the revenue now reading 170 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.18 cents a share).

Is the stock of WY attractive?

Having a look at the company’s valuation, the company is expected to record 0.85 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on WY sounds very interesting.

In related news, President and CEO Stockfish Devin W bought 5,195 shares of the company’s stock in a transaction that recorded on June 6th, 2019. The purchase was performed at an average price of 23.03, for a total value of 119,640. As the purchase deal closes, the Senior Vice President and CFO Stockfish Devin W now sold 8,000 shares of the company’s stock, valued at 210,526. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.20%.

5 out of 12 analysts covering the stock have rated it a Buy, while 2 have maintained a Hold recommendation on Weyerhaeuser Company stock. 0 analysts has assigned a Sell rating on the WY stock. The 12-month mean consensus price target for the company’s shares has been set at $30.59.