Weyerhaeuser (WY) PT Lowered to $36 at Citi
Citi analyst Anthony Pettinari lowered the price target on Weyerhaeuser (NYSE: WY) to $36.00 (from $37.00) while maintaining a Buy rating.
The analyst comments "We update our estimates after a largely in-line 2Q. We see the NA Lumber market bottoming with RL prices +$10/kbft over the last two weeks. Curtailment announcements have recently accelerated (WY-New Bern, NC, Hampton-Fort St. James, BC, Malheur-John Day, OR), with most producers running EBITDA-negative, and Canadian import duty increases set to increase. We model WY’s Lumber business remaining EBITDA-negative in 3Q (-$10mm) for the fourth consecutive quarter and then inflecting to profitability in 4Q. While we lower our 2024-25 estimates on lower Wood Products price/vol assumptions, our target price ticks down to $36 (from $37). W maintain our Buy rating on visibility into 2H Lumber & Timberlands improvement and compelling discount to NAV."