Weyerhaeuser (NYSE:WY) vs. Easterly Government Properties (NYSE:DEA) Financial Contrast

Weyerhaeuser (NYSE:WY) and Easterly Government Properties (NYSE:DEA) are both construction companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, dividends, institutional ownership, valuation and risk.

Dividends

Weyerhaeuser pays an annual dividend of $0.84 per share and has a dividend yield of 2.8%. Easterly Government Properties pays an annual dividend of $1.06 per share and has a dividend yield of 10.0%. Weyerhaeuser pays out 152.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Easterly Government Properties pays out 557.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Profitability

This table compares Weyerhaeuser and Easterly Government Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Weyerhaeuser	5.56%	3.86%	2.30%
Easterly Government Properties	6.25%	1.34%	0.62%

Volatility and Risk

Weyerhaeuser has a beta of 1.43, suggesting that its stock price is 43% more volatile than the S&P 500. Comparatively, Easterly Government Properties has a beta of 0.73, suggesting that its stock price is 27% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Weyerhaeuser and Easterly Government Properties, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Weyerhaeuser	0	2	5	1	2.88
Easterly Government Properties	1	1	1	0	2.00

Weyerhaeuser presently has a consensus target price of $35.00, indicating a potential upside of 17.27%. Easterly Government Properties has a consensus target price of $12.33, indicating a potential upside of 16.63%. Given Weyerhaeuser’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Weyerhaeuser is more favorable than Easterly Government Properties.

Insider & Institutional Ownership

83.0% of Weyerhaeuser shares are owned by institutional investors. Comparatively, 86.5% of Easterly Government Properties shares are owned by institutional investors. 0.3% of Weyerhaeuser shares are owned by company insiders. Comparatively, 8.1% of Easterly Government Properties shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Weyerhaeuser	$7.12 billion	3.04	$396.00 million	$0.55	54.27
Easterly Government Properties	$302.05 million	3.78	$18.80 million	$0.19	55.66

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

Summary

Weyerhaeuser beats Easterly Government Properties on 11 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 Easterly Government Properties

Easterly Government Properties, Inc. (NYSE: DEA) is based in Washington, D.C., and focuses primarily on the acquisition, development and management of Class A commercial properties that are leased to the U.S. Government. Easterly’s experienced management team brings specialized insight into the strategy and needs of mission-critical U.S. Government agencies for properties leased to such agencies either directly or through the U.S. General Services Administration (GSA).