Weyerhaeuser Story

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WY -- USA Stock  

USD 29.13  0.11  0.38%

Weyerhaeuser is scheduled to announce its earnings today. The next earnings report is expected on the 29th of January 2021. While some investors are becoming indifferent towards real estate space, we are going to break down the feasibility of acquiring Weyerhaeuser as a potential hedging instrument for your current portfolios. We will analyze why it could be a much better year for Weyerhaeuser shareholders.
Published over three weeks ago
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Chances of Weyerhaeuser (NYSE:WY) to slide in November
Weyerhaeuser is FAIRLY VALUED at 27.81 per share with modest projections ahead. Our trade advice module complements current analysts and expert consensus on Weyerhaeuser. It analyzes the entity potential to grow using all fundamental, technical, and market related data available at the time.
What is the right price you would pay to acquire a share of Weyerhaeuser? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our stock advisor page.

What is happening with Weyerhaeuser this year

Annual and quarterly reports issued by Weyerhaeuser are formal financial statements that are published yearly and quarterly and sent to Weyerhaeuser stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934. Companies such as Weyerhaeuser often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

How Weyerhaeuser utilizes its cash?

To perform a cash flow analysis of Weyerhaeuser, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Weyerhaeuser is receiving and how much cash it distributes out in a given period. The Weyerhaeuser cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Weyerhaeuser Net Cash Flow from Operations is fairly stable at the moment as compared to the past year. Weyerhaeuser reported Net Cash Flow from Operations of 966 Million in 2019

Acquisition by Deidra Merriwether of 22 shares of Weyerhaeuser subject to Rule 16b-3

Legal trades by Weyerhaeuser insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Weyerhaeuser insider trading alert for grant of share equivalents by Deidra Merriwether, the corporate stakeholder, on 13th of November 2020. This event was filed by Weyerhaeuser Co with SEC on 2020-11-13. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Is Weyerhaeuser a risky opportunity?

Let's check the volatility. Weyerhaeuser is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Weyerhaeuser (NYSE:WY) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. acquiring a share of a Weyerhaeuser stock makes you a part-owner of that company.

Weyerhaeuser Current Consensus

Here is the current trade recommendation based on an ongoing consensus estimate among financial analysis covering Weyerhaeuser. The Weyerhaeuser consensus assessment is calculated by taking the average estimates from all of the analysts covering Weyerhaeuser

Strong Buy
3
Buy
1
Hold
4
Strong Buy337.5
Buy112.5
Hold450.0
Sell00.0
Strong Sell00.0

Our perspective of the current Weyerhaeuser slide

Current semi deviation is at 1.96. Weyerhaeuser currently demonstrates below-verage downside deviation. It has Information Ratio of 0.01 and Jensen Alpha of 0.02. However, we do advice investors to further question Weyerhaeuser expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

The Bottom Line

When is the right time to buy or sell Weyerhaeuser? Buying stocks such as Weyerhaeuser isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily bases. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither pick up nor sell any shares of Weyerhaeuser at this time. The Weyerhaeuser risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Weyerhaeuser.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Achuva Shats do not own shares of Weyerhaeuser. Please refer to our Terms of Use for any information regarding our disclosure principles.

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