Rayonier Advanced Materials (NYSE:RYAM) Stock Price Up 8.7% - What's Next?

Key Points

• RYAM shares jumped 8.7% to about $9.22, although trading volume was 37% below the stock’s average daily volume.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an average price target of $13.00; ratings ranged from Buy to Sell.
• The company reported a quarterly loss of $0.30 per share, missing estimates, while maintaining weak profitability metrics and high leverage. Institutional investors own 68.64% of the stock, with several major funds recently establishing positions.

Rayonier Advanced Materials Inc. (NYSE:RYAM - Get Free Report) shares shot up 8.7% on Tuesday . The company traded as high as $9.12 and last traded at $9.2150. 632,614 shares traded hands during trading, a decline of 37% from the average daily volume of 1,011,695 shares. The stock had previously closed at $8.48.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on RYAM. Royal Bank Of Canada cut their target price on Rayonier Advanced Materials from $14.00 to $13.00 and set an "outperform" rating on the stock in a research note on Friday, July 17th. Zacks Research upgraded shares of Rayonier Advanced Materials from a "strong sell" rating to a "hold" rating in a research note on Wednesday, August 5th. Wall Street Zen raised shares of Rayonier Advanced Materials from a "sell" rating to a "hold" rating in a research note on Monday, July 20th. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Rayonier Advanced Materials in a research note on Friday, July 17th. One research analyst has rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $13.00.

Rayonier Advanced Materials Stock Up 8.7%

The business's 50 day moving average is $8.52 and its 200 day moving average is $9.03. The company has a debt-to-equity ratio of 3.83, a quick ratio of 0.85 and a current ratio of 1.37. The stock has a market cap of $623.30 million, a price-to-earnings ratio of -4.39 and a beta of 1.76.

Rayonier Advanced Materials (NYSE:RYAM - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The basic materials company reported ($0.30) earnings per share for the quarter, missing analysts' consensus estimates of ($0.22) by ($0.08). Rayonier Advanced Materials had a negative net margin of 9.53% and a negative return on equity of 46.19%. The business had revenue of $376.14 million for the quarter, compared to analysts' expectations of $362.00 million. Equities analysts expect that Rayonier Advanced Materials Inc. will post -1.28 earnings per share for the current year.

Institutional Trading of Rayonier Advanced Materials

Hedge funds have recently made changes to their positions in the stock. BlackRock Inc. acquired a new position in Rayonier Advanced Materials in the 2nd quarter valued at approximately $37,437,000. Aip LLC acquired a new position in shares of Rayonier Advanced Materials in the second quarter worth $26,724,000. Irenic Capital Management LP purchased a new stake in shares of Rayonier Advanced Materials during the first quarter worth $15,013,000. Nantahala Capital Management LLC purchased a new stake in shares of Rayonier Advanced Materials during the second quarter worth $13,344,126. Finally, Assenagon Asset Management S.A. grew its stake in Rayonier Advanced Materials by 28.2% in the first quarter. Assenagon Asset Management S.A. now owns 422,927 shares of the basic materials company's stock valued at $4,682,000 after purchasing an additional 92,942 shares in the last quarter. 68.64% of the stock is owned by hedge funds and other institutional investors.

About Rayonier Advanced Materials

Rayonier Advanced Materials Inc NYSE: RYAM is a specialty materials company that develops and manufactures cellulose-based products for industrial and consumer applications. Its portfolio includes high-purity cellulose, cellulose specialties, viscose pulp and other engineered biomaterials.

The company's products are used in a range of applications, including pharmaceutical and food ingredients, cigarette filters, liquid-crystal displays, paints and coatings, textiles, tire and rubber products, personal care items and other specialty materials.

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