Contrasting Weyerhaeuser (NYSE:WY) and BRT Apartments (NYSE:BRT)

Weyerhaeuser (NYSE:WY) and BRT Apartments (NYSE:BRT) are both construction companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Analyst Ratings

This is a summary of current ratings for Weyerhaeuser and BRT Apartments, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Weyerhaeuser	0	2	4	1	2.86
BRT Apartments	0	0	2	0	3.00

Weyerhaeuser currently has a consensus price target of $38.29, suggesting a potential upside of 17.98%. BRT Apartments has a consensus price target of $27.67, suggesting a potential upside of 52.52%. Given BRT Apartments’ stronger consensus rating and higher possible upside, analysts plainly believe BRT Apartments is more favorable than Weyerhaeuser.

Institutional & Insider Ownership

79.5% of Weyerhaeuser shares are held by institutional investors. Comparatively, 28.9% of BRT Apartments shares are held by institutional investors. 0.3% of Weyerhaeuser shares are held by insiders. Comparatively, 38.3% of BRT Apartments shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk and Volatility

Weyerhaeuser has a beta of 1.52, meaning that its share price is 52% more volatile than the S&P 500. Comparatively, BRT Apartments has a beta of 1.09, meaning that its share price is 9% more volatile than the S&P 500.

Dividends

Weyerhaeuser pays an annual dividend of $0.76 per share and has a dividend yield of 2.3%. BRT Apartments pays an annual dividend of $1.00 per share and has a dividend yield of 5.5%. Weyerhaeuser pays out 79.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. BRT Apartments pays out 192.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Weyerhaeuser has raised its dividend for 2 consecutive years and BRT Apartments has raised its dividend for 2 consecutive years.

Earnings & Valuation

This table compares Weyerhaeuser and BRT Apartments’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Weyerhaeuser	$10.18 billion	2.33	$1.88 billion	$0.96	33.80
BRT Apartments	$70.53 million	4.85	$49.96 million	$0.52	34.89

Weyerhaeuser has higher revenue and earnings than BRT Apartments. Weyerhaeuser is trading at a lower price-to-earnings ratio than BRT Apartments, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Weyerhaeuser and BRT Apartments’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Weyerhaeuser	8.80%	8.32%	5.04%
BRT Apartments	10.97%	3.99%	1.36%

Summary

Weyerhaeuser beats BRT Apartments on 10 of the 17 factors compared between the two stocks.

About Weyerhaeuser

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. We are also one of the largest manufacturers of wood products in North America. Our company is a real estate investment trust. In 2022, we generated $10.2 billion in net sales and employed approximately 9,200 people who serve customers worldwide. Our common stock trades on the New York Stock Exchange under the symbol WY.

About BRT Apartments

BRT is a real estate investment trust that owns, operates and, to a lesser extent, holds interests in joint ventures that own multi-family properties. As of June 30, 2023, BRT owns or has interests in 28 multi-family properties with 7,707 units in 11 states.