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UPDATE: McAdams Wright Ragen Downgrades Weyerhaeuser to Sell on Valuation

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McAdams Wright Ragen lowered its rating on Weyerhaeuser (NYSE: WY) from Hold to Sell.

McAdams Wright Ragen commented, "We continue to believe fair value is somewhere in the $15–$22 range based on a net asset approach updated for the Q3 release. An earnings or cash flow based approach would point to values on the lower end of that range. If the company could sustain the most recent results it would be trading at a PE of 31x. The last time EPS excluding special items was above the dollar mark was 2007. Though in hindsight, buying the stock in the teens would have been a profitable move, we still find that price barely justified on fundamental metrics."

Weyerhaeuser closed at $27.37 on Friday.

Latest Ratings for WY

DateFirmActionFromTo
May 2016DA DavidsonDowngradesBuyNeutral
May 2016Vertical ResearchDowngradesBuyHold
Mar 2016Argus ResearchMaintainsBuy

View More Analyst Ratings for WY
View the Latest Analyst Ratings

Posted-In: McAdams Wright RagenAnalyst Color Downgrades Pre-Market Outlook Analyst Ratings

 

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