Reviewing CoreCivic (NYSE:CXW) and Weyerhaeuser (NYSE:WY)

CoreCivic (NYSE:CXWGet Free Report) and Weyerhaeuser (NYSE:WYGet Free Report) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, analyst recommendations and earnings.

Profitability

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

Net Margins Return on Equity Return on Assets
CoreCivic 3.56% 4.70% 2.22%
Weyerhaeuser 10.93% 7.36% 4.37%

Analyst Recommendations

This is a breakdown of current ratings for CoreCivic and Weyerhaeuser, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
CoreCivic 0 0 2 0 3.00
Weyerhaeuser 0 4 2 0 2.33

CoreCivic currently has a consensus target price of $19.00, suggesting a potential upside of 25.00%. Weyerhaeuser has a consensus target price of $38.00, suggesting a potential upside of 16.24%. Given CoreCivic’s stronger consensus rating and higher probable upside, equities research analysts clearly believe CoreCivic is more favorable than Weyerhaeuser.

Insider & Institutional Ownership

85.1% of CoreCivic shares are owned by institutional investors. Comparatively, 83.0% of Weyerhaeuser shares are owned by institutional investors. 2.2% of CoreCivic 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.

Volatility and Risk

CoreCivic has a beta of 0.81, meaning that its stock price is 19% less volatile than the S&P 500. Comparatively, Weyerhaeuser has a beta of 1.43, meaning that its stock price is 43% more volatile than the S&P 500.

Earnings and Valuation

This table compares CoreCivic and Weyerhaeuser’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
CoreCivic $1.90 billion 0.89 $67.59 million $0.59 25.76
Weyerhaeuser $7.67 billion 3.11 $839.00 million $1.15 28.43

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

Summary

Weyerhaeuser beats CoreCivic on 9 of the 13 factors compared between the two stocks.

About CoreCivic

(Get Free Report)

CoreCivic, Inc. owns and operates partnership correctional, detention, and residential reentry facilities in the United States. It operates through three segments: CoreCivic Safety, CoreCivic Community, and CoreCivic Properties. The company provides a range of solutions to government partners that serve the public good through corrections and detention management, a network of residential reentry centers to help address America's recidivism crisis, and government real estate solutions. Its correctional, detention, and residential reentry facilities offer rehabilitation and educational programs, including basic education, faith-based services, life skills and employment training, and substance abuse treatment. The company owns and operates correctional and detention facilities, residential reentry centers, and properties for lease. CoreCivic, Inc. was founded in 1983 and is based in Brentwood, Tennessee.

About Weyerhaeuser

(Get Free Report)

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.

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