Critical Comparison: JELD-WEN (NYSE:JELD) vs. Weyerhaeuser (NYSE:WY)

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

Profitability

This table compares JELD-WEN and Weyerhaeuser’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
JELD-WEN	-10.03%	-1.60%	-0.35%
Weyerhaeuser	3.97%	2.95%	1.73%

Insider & Institutional Ownership

95.0% of JELD-WEN shares are owned by institutional investors. Comparatively, 83.0% of Weyerhaeuser shares are owned by institutional investors. 1.2% of JELD-WEN shares are owned by insiders. Comparatively, 0.3% of Weyerhaeuser shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for JELD-WEN and Weyerhaeuser, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
JELD-WEN	1	7	0	0	1.88
Weyerhaeuser	1	1	7	1	2.80

JELD-WEN presently has a consensus target price of $6.03, indicating a potential downside of 4.04%. Weyerhaeuser has a consensus target price of $32.75, indicating a potential upside of 31.32%. Given Weyerhaeuser’s stronger consensus rating and higher probable upside, analysts clearly believe Weyerhaeuser is more favorable than JELD-WEN.

Valuation and Earnings

This table compares JELD-WEN and Weyerhaeuser”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
JELD-WEN	$3.78 billion	0.14	-$189.02 million	($4.06)	-1.55
Weyerhaeuser	$7.12 billion	2.53	$396.00 million	$0.38	65.63

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

Volatility & Risk

JELD-WEN has a beta of 1.68, suggesting that its share price is 68% more volatile than the S&P 500. Comparatively, Weyerhaeuser has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.

Summary

Weyerhaeuser beats JELD-WEN on 12 of the 15 factors compared between the two stocks.

About JELD-WEN

JELD-WEN Holding, Inc. designs, manufactures, and sells wood, metal, and composite materials doors, windows, and related building products in North America and Europe. The company offers a line of residential interior and exterior door products, including patio doors, and folding or sliding wall systems; non-residential doors; stile and rail doors; and wood, vinyl, and wood composite windows. It also provides other ancillary products and services, such as trim boards, glasses, hardware and locks, window screens, and molded door skins, as well as miscellaneous installation and other services. The company sells its products under the JELD-WEN, AuraLast, MiraTEC, Extira, LaCANTINA, MMI Door, Karona, ImpactGard, JW, Aurora, IWP, True BLU, ABS, Siteline, National Door, Low-Friction Glider, Hydrolock, VPI, AURALINE, FINISHIELD, MILLENNIUM, TRUFIT, EPICVUE, EVELIN, Swedoor, Dooria, DANA, Mattiovi, Zargag, Alupan, Domoferm, Kellpax, and HSE brands. It serves wholesale distributors and retailers, retail home centers, and building product dealers, as well as homebuilders, contractors, and consumers. JELD-WEN Holding, Inc. was founded in 1960 and is based in Charlotte, North Carolina.

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.