NEW YORK (TheStreet) -- Shares of Weyerhaeuser(WY) - Get Report were advancing in pre-market trading on Thursday as Goldman Sachs initiated coverage of the stock with a "buy" rating and $37 price target, the Fly reports.
The firm also added the Federal Way, WA-based owner of timberlands to its "conviction buy list."
Goldman said Weyerhaeuser is a top pick in the group. The firm sees the company as the only way for investors to get exposure to the attractive timberland asset class through a liquid large-cap publicly traded company, the Fly added.
Additionally, Goldman expects continued appreciation in U.S. timberland prices to be the key driver of the stock.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.
The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, good cash flow from operations, increase in net income and largely solid financial position with reasonable debt levels by most measures.
The team believes its strengths outweigh the fact that the company has had somewhat disappointing return on equity.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: WY