Weyerhaeuser ranks among the world's largest forest product companies. Following the 2016 sale of its pulp business to International Paper, Weyerhaeuser operates three business segments: timberlands, wood products, and real estate. Weyerhaeuser is structured as a real estate investment trust and is not required to pay federal income taxes on earnings generated by timber harvest activities. Earnings from its wood products segment are subject to federal income tax. Weyerhaeuser acquired fellow timber REIT Plum Creek in 2016.

Weyerhaeuser ranks among the world's largest forest product companies. Following the 2016 sale of its pulp business to International Paper, Weyerhaeuser operates three business segments: timberlands, wood products, and real estate. Weyerhaeuser is structured as a real estate investment trust and is not required to pay federal income taxes on earnings generated by timber harvest activities. Earnings from its wood products segment are subject to federal income tax. Weyerhaeuser acquired fellow timber REIT Plum Creek in 2016.

Weyerhaeuser grows and harvests trees and manufactures forest products in North America. At year-end, the company owned about 10.5 million acres of timberlands in the U.S. and licensed just over 14 million acres in Canada. Its vast U.S. land ownership makes Weyerhaeuser the largest nongovernmental landowner in the U.S. Weyerhaeuser is a REIT for tax purposes, though it is essentially a vertically integrated commodities company. WY also reports earnings as EPS rather than as FFO, which is the standard for REITs. The company reports results for three segments: Timberlands, which produces primarily saw logs; Wood Products, which includes engineered lumber, OSB, plywood, and medium-density fiberboard; and Real Estate/Natural Resources, which is comprised of acreage sales, solar/cell leases, and carbon capture revenues. About 65% of demand for WY products tends to come from single-family home construction. The company's earnings have been driven by its Wood Products segment, which has struggled from suppressed demand in the recent economy. WY had 2024 revenues of $7.1 billion. Wood Product sales accounted for about 73% of 2024 revenues and for about 53% of adjusted EBITDA. The market cap is $22 billion.

Monday Tee Up: Tariffs, Jobs, Earnings Newly imposed U.S. tariffs (and the responses to them by the impacted countries) combine with the jobs report (due to hit the tape on Friday) and the ongoing flood or earnings reports to set the stage for a busy week. Last week, the Dow Jones Industrial Average gained 0.3%, the S&P 500 fell 1.0%, and the Nasdaq dropped 1.6%. So far in 2025, the DJIA is up 5%, the S&P is up 3%, and the Nasdaq is up 2%. Over the weekend, President Trump imposed tariffs on China, Mexico, and Canada. Canada announced their own retaliatory tariffs and, as of this writing, Mexico intends to respond. China said it will file a complaint with the World Trade Organization. The markets likely will experience some volatility as Wall Street assesses the impact of the tariffs. Items to consider are possible increased prices, supply-chain hiccups, changes to consumer spending patterns, and an uptick in overall inflation. Meanwhile, the earnings flow continues. On Monday, Palantir, Tyson Foods, and Clorox are among the companies that will report; on Tuesday, Alphabet, Advanced Micro, Merck, Amgen, and PepsiCo; on Wednesday, Novo Nordisk, Qualcomm, Uber, and Disney; on Thursday, Amazon.com, Eli Lilly, Bristol-Myers Squibb, Honeywell, and ConocoPhillips; and on Friday, Fortive, Kimco, and Cboe Global. Some 178 (or 36%) of the S&P 500 companies have reported for last quarter. Earnings so far are showing 12% growth from the prior-year quarter. That compares to a 9% growth rate last quarter. The Financial sector has had the most companies report, and the growth rate so far is 13%, according to Refinitiv. Argus forecasts S&P 500 EPS growth in 2025 at 12%. For 2026, we forecast 11. On the economic calendar, the Nonfarm Payrolls report for January comes out on Friday. Though that report will get the most attention, the Call of the Week from Argus' Chief Economist Chris Graja, CFA, is Nonfarm Productivity. Chris expects growth to top 2%, while the consensus is 1.7%. Chris offers the following thoughts. 'While the jobs report provides a timely assessment of how the economy is doing, productivity, though volatile, is the best measure of a country's long-term prosperity and of workers ability to earn more than the inflation rate. Worker prosperity will dominate the American political landscape for the next four years. Productivity growth also will reflect the degree of success from the billions being spent on Artificial Intelligence.' Last week, the Federal Reserve kept interest rates unchanged, as expected. Mortgage rates dipped one basis point, with the average 30-year fixed-rate mortgage now at 6.95%, according to FreddieMac. Gas prices fell a penny to an average of $3.10 per gallon for regular gas. The Atlanta Fed GDPNow indicator is forecasting for 1Q and calls for expansion of 2.9%. The Cleveland Fed Inflation Nowcast is forecasting for January and is at 2.85%. The next Fed rate decision is on March 19, with odds at 17% for a rate cut, according to the CME FedWatch rate tool. After that, the next meeting is in early May.