Wellington Management Group LLP Increases Holdings in Weyerhaeuser Company $WY

Key Points

• Wellington Management Group LLP increased its holdings in Weyerhaeuser Company to $1.05 billion by owning 35,766,174 shares after acquiring an additional 193,854 shares in the first quarter.
• Insider activity saw Director Sara Grootwassink Lewis purchasing 4,000 shares at an average price of $25.29, leading to a 22.89% increase in her ownership position.
• Weyerhaeuser announced a quarterly dividend of $0.21 per share and has authorized a $1 billion share repurchase plan, indicating the board's belief that the stock may be undervalued.

Wellington Management Group LLP raised its stake in shares of Weyerhaeuser Company (NYSE:WY - Free Report) by 0.5% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 35,766,174 shares of the real estate investment trust's stock after buying an additional 193,854 shares during the period. Wellington Management Group LLP owned about 4.93% of Weyerhaeuser worth $1,047,234,000 as of its most recent SEC filing.

A number of other hedge funds have also added to or reduced their stakes in the stock. Vanguard Group Inc. raised its stake in Weyerhaeuser by 0.3% during the 1st quarter. Vanguard Group Inc. now owns 113,775,816 shares of the real estate investment trust's stock valued at $3,331,356,000 after buying an additional 339,884 shares during the last quarter. JPMorgan Chase & Co. raised its stake in Weyerhaeuser by 3.8% during the 1st quarter. JPMorgan Chase & Co. now owns 11,931,955 shares of the real estate investment trust's stock valued at $349,368,000 after buying an additional 440,163 shares during the last quarter. Northern Trust Corp grew its position in shares of Weyerhaeuser by 3.5% during the 4th quarter. Northern Trust Corp now owns 9,538,125 shares of the real estate investment trust's stock valued at $268,498,000 after acquiring an additional 322,313 shares during the period. Charles Schwab Investment Management Inc. grew its position in shares of Weyerhaeuser by 1.7% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 9,138,010 shares of the real estate investment trust's stock valued at $267,561,000 after acquiring an additional 151,929 shares during the period. Finally, Allspring Global Investments Holdings LLC grew its position in shares of Weyerhaeuser by 2.4% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 9,065,565 shares of the real estate investment trust's stock valued at $264,171,000 after acquiring an additional 213,062 shares during the period. 82.99% of the stock is currently owned by hedge funds and other institutional investors.

Weyerhaeuser Price Performance

Weyerhaeuser stock traded up $1.01 during mid-day trading on Friday, hitting $26.78. The stock had a trading volume of 6,047,719 shares, compared to its average volume of 4,076,292. The firm has a market capitalization of $19.32 billion, a P/E ratio of 70.48, a P/E/G ratio of 79.69 and a beta of 1.08. The company has a current ratio of 1.04, a quick ratio of 0.68 and a debt-to-equity ratio of 0.45. The firm's 50 day moving average is $25.94 and its 200 day moving average is $27.09. Weyerhaeuser Company has a one year low of $24.10 and a one year high of $34.03.

Weyerhaeuser (NYSE:WY - Get Free Report) last issued its earnings results on Thursday, July 24th. The real estate investment trust reported $0.12 earnings per share for the quarter, topping the consensus estimate of $0.10 by $0.02. Weyerhaeuser had a net margin of 3.97% and a return on equity of 2.95%. The company had revenue of $1.88 billion during the quarter, compared to the consensus estimate of $1.94 billion. During the same quarter in the prior year, the firm posted $0.21 EPS. Weyerhaeuser's quarterly revenue was down 2.8% compared to the same quarter last year. On average, sell-side analysts forecast that Weyerhaeuser Company will post 0.78 earnings per share for the current fiscal year.

Weyerhaeuser Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Shareholders of record on Friday, August 29th will be issued a dividend of $0.21 per share. This represents a $0.84 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend is Friday, August 29th. Weyerhaeuser's dividend payout ratio is 221.05%.

Weyerhaeuser announced that its Board of Directors has initiated a stock repurchase plan on Thursday, May 8th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the real estate investment trust to repurchase up to 5.3% of its stock through open market purchases. Stock buyback plans are often a sign that the company's management believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on WY. Wall Street Zen downgraded shares of Weyerhaeuser from a "hold" rating to a "sell" rating in a research report on Sunday, August 3rd. Citigroup cut their price objective on shares of Weyerhaeuser from $35.00 to $31.00 and set a "buy" rating for the company in a research report on Tuesday, June 3rd. The Goldman Sachs Group downgraded shares of Weyerhaeuser from a "strong-buy" rating to a "strong sell" rating in a research report on Friday, May 23rd. DA Davidson cut their price objective on shares of Weyerhaeuser from $36.00 to $35.00 and set a "buy" rating for the company in a research report on Tuesday, July 22nd. Finally, Truist Financial cut their price objective on shares of Weyerhaeuser from $30.00 to $29.00 and set a "hold" rating for the company in a research report on Monday, July 28th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $32.88.

Insider Activity at Weyerhaeuser

In related news, Director Sara Grootwassink Lewis acquired 4,000 shares of the company's stock in a transaction on Monday, August 11th. The stock was acquired at an average price of $25.29 per share, with a total value of $101,160.00. Following the acquisition, the director directly owned 21,478 shares of the company's stock, valued at approximately $543,178.62. This trade represents a 22.89% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. 0.27% of the stock is owned by company insiders.

Weyerhaeuser Profile

Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. We own or control approximately 11 million acres of timberlands in the U.S. and manage additional timberlands under long-term licenses in Canada. We manage these timberlands on a sustainable basis in compliance with internationally recognized forestry standards.