CIBC upgrades Weyerhaeuser to Outperformer, trims price target to $35

As previously reported on Tuesday, CIBC upgraded Weyerhaeuser (WY) to Outperformer from Neutral with a price target of $35, down from $36. The firm believes Weyerhaeuser is well positioned to benefit from any additional trade constraints the U.S. government imposes on Canadian forest products. Weyerhaeuser has the highest margins in the wood products industry, some of the most productive timberlands in the world, favorable ESG attributes and a growing Natural Climate Solutions business. Over the long term, Southern sawmill capacity additions and growth in Forest Carbon revenue opportunities seem likely to support a material rebound in the pricing of logs in the South, CIBC adds.