Weyerhaeuser (NYSE:WY) versus Millrose Properties (NYSE:MRP) Head-To-Head Review

Millrose Properties (NYSE:MRP) and Weyerhaeuser (NYSE:WY) are both real estate companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, profitability, institutional ownership, earnings, dividends and analyst recommendations.

Dividends

Millrose Properties pays an annual dividend of $3.16 per share and has a dividend yield of 13.2%. Weyerhaeuser pays an annual dividend of $0.84 per share and has a dividend yield of 4.3%. Millrose Properties pays out 110.1% 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 pays out 129.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Weyerhaeuser has raised its dividend for 3 consecutive years. Millrose Properties is clearly the better dividend stock, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares Millrose Properties and Weyerhaeuser”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Millrose Properties	$600.46 million	6.14	$379.86 million	$2.87	8.33
Weyerhaeuser	$6.91 billion	2.04	$324.00 million	$0.65	30.11

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

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Millrose Properties and Weyerhaeuser, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Millrose Properties	0	3	0	1	2.50
Weyerhaeuser	0	3	7	1	2.82

Millrose Properties currently has a consensus target price of $36.50, indicating a potential upside of 52.69%. Weyerhaeuser has a consensus target price of $26.67, indicating a potential upside of 36.24%. Given Millrose Properties’ higher possible upside, research analysts plainly believe Millrose Properties is more favorable than Weyerhaeuser.

Insider and Institutional Ownership

83.0% of Weyerhaeuser shares are held by institutional investors. 0.2% of Millrose Properties shares are held by company insiders. Comparatively, 0.3% of Weyerhaeuser shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk and Volatility

Millrose Properties has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500. Comparatively, Weyerhaeuser has a beta of 0.92, indicating that its share price is 8% less volatile than the S&P 500.

Profitability

This table compares Millrose Properties and Weyerhaeuser’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Millrose Properties	62.60%	8.13%	5.07%
Weyerhaeuser	6.89%	1.49%	0.85%

Summary

Millrose Properties beats Weyerhaeuser on 9 of the 17 factors compared between the two stocks.

About Millrose Properties

Millrose Properties, Inc. is a real estate investment and management company that focuses on acquiring, developing, and managing high-quality commercial properties. They are headquartered in Purchase, New York.

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.