Is Buying the Weyerhaeuser Stock a Winning Pick in 2021?

Is Buying the Weyerhaeuser Stock a Winning Pick in 2021?

The Weyerhaeuser company was founded 121 years ago. They are an American based company that has business ties all over the world. As a stock, Weyerhaeuser has been the target of many high-profile investors. 

Weyerhaeuser History

Weyerhaeuser stock is traded as WY on the NYSE. It is one of the largest companies in the world, and is recognized by the S&P 500. Although their main industry is in the real estate investment trust, Weyerhaeuser has made great strides in other industries. The founder Friedrich Weyerhaeuser was a timber mogul in the late 1800’s and early 1900’s. The early start and innovation of the founder made him one of the richest Americans of all time. It also earned him the timber king of the Northwest nickname that is still famous to this day. No matter how big the company got, they continue to pay homage to their original roots. 

As A Modern Stock

For Q3 in 2021, the Weyerhaeuser stock continues to impress investors. They are expecting a massive increase in earnings from 0.78 to 0.97. This is higher than anticipated, but not a big surprise considering the current market. Even with shares jumping in value, the company is a good choice for any portfolio. They are still one of the top rated in lumber and residential housing, and seem to have a smart idea of how to keep growing. This isn’t the first time the company has received a ‘strong buy’ rating from an analyst. But it is the first time that the Weyerhaeuser stock showed unlimited potential during a changing world stage. No one knows when it will top out, and here are a few reasons why. 

What Changes Made the Stock Valuable?

The beginning of COVID wasn’t a huge hit on the housing market, employment or lumber. There were several stores of supplies, and most businesses had plenty of materials to work with. In fact, the beginning of COVID is when big companies saw a dip in their profits – or had the forethought to plan for shortages. By the time the middle of COVID took on the world, profits started to drop and shortages came through as expected. There was a short hike in prices for materials, and soon after that short hike became a massive increase. This was the beginning of lumber increases, house shortages and individuals getting laid off. 

Getting laid off worked in several ways, with the most interesting being a rise in new investors. These new investors saw how the market was changing in real time. It was companies like Weyerhaeuser that benefitted the most when the lumber shortage became public. Their position was already set, so it led to them becoming the darling stock of 2021 for new and established investors. 

Improve Your Portfolio

Lumber prices are still rising, and show no signs of slowing down. The Weyerhaeuser stock is a powerful buy for anyone looking to invest in a powerful company. If your goal is a manageable investment vehicle, then Weyerhaeuser is a solid choice.

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