Visa Inc. (V) vs Weyerhaeuser Company (WY): Which Is the Better Buy in 2026?
As of 2026-06-19, V is fairly valued at $327, with a DCF intrinsic value of $304 and a margin of safety of -8%. WY is overvalued at $24, with an intrinsic value of $0 and a margin of safety of -100%. Of the two, V has the wider margin of safety.
Rewards
- ★Visa Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Gross margin of 97.8% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Visa Inc. scores 99/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
Risks
- ⚠Insiders have sold $14.2M worth of stock in the past 3 months — significant insider liquidation.
- ⚠ROIC has declined by 13.4 percentage points over the past 4 years, which may signal competitive erosion.
- ⚠Gross margin of 14.7% is low, suggesting a competitive or commodity-like market with limited pricing power.
- ⚠Weyerhaeuser Company scores only 19/100 on the Economic Moat Score, suggesting limited durable competitive advantages.
Key Valuation Metrics
Learn more →Historical Fundamentals
Learn more →Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.
$1 Retained Earnings Test
Learn more →> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →Reverse DCF — Market-Implied Growth
Learn more →What growth rate is the market pricing in at $327?
The market implies +13.9% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +13.4%, reflecting heavy growth investment.
Requires positive FCF to compute implied growth rate.
Economic Moat Score
Learn more →Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.
No durable moat detected, though revenue predictability shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.
Forensic Accounting
Learn more →M-Score Trend
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →"Market is pricing this stock without strong emotion in either direction"
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
Frequently Asked Questions: V vs WY
Is Visa Inc. or Weyerhaeuser Company more undervalued in 2026?▼
Based on our discounted cash flow model, V trades at a -7.6% margin of safety (intrinsic value $304 vs. price $327), compared to WY's -100.0% margin of safety (intrinsic $0 vs. $24).
Which stock has a wider economic moat, Visa Inc. or Weyerhaeuser Company?▼
V scores 99/100 (Wide moat), while WY scores 19/100 (None moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.
Is Weyerhaeuser Company in financial distress?▼
WY's Altman Z-Score of 2.1 places it in the Grey zone, signaling elevated bankruptcy risk. V scores 8.1 (Safe zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.
Which company has better free cash flow, Visa Inc. or Weyerhaeuser Company?▼
Visa Inc. (V) generates a 3.3% free cash flow yield, compared to Weyerhaeuser Company's -0.3%. A higher FCF yield means the business converts more of its market value into cash that can be returned to shareholders or reinvested.
Which stock has higher return on invested capital, Visa Inc. or Weyerhaeuser Company?▼
V earns 38.4% ROIC versus WY's 3.3%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.
Which dividend is safer, Visa Inc.'s or Weyerhaeuser Company's?▼
V's dividend earns a safety score of 94/100 (Very Safe), compared to WY's 30/100 (Unsafe). V has raised its dividend for 3 consecutive years.