Rayonier Advanced Materials (NYSE:RYAM) Share Price Crosses Below 50 Day Moving Average - Here's Why

Key Points

• Shares fell below the 50-day moving average: RYAM traded as low as $9.41 versus a 50‑day SMA of $9.67 and last traded around $9.91 on volume of 777,318 shares.
• Earnings missed but revenue beat: The company reported Q results of ($0.28) EPS (missed by $0.19) while revenue of $417.55M topped estimates, yet margins and ROE remain negative (net margin −28.65%, negative ROE).
• Mixed analyst views and strong institutional ownership: Coverage is split (one Buy, one Hold, one Sell) with a consensus "Hold" and a target of $14 after RBC upgraded to "outperform," and institutional investors own about 68.64% of the stock.

Rayonier Advanced Materials Inc. (NYSE:RYAM - Get Free Report) shares passed below its 50-day moving average during trading on Monday . The stock has a 50-day moving average of $9.67 and traded as low as $9.41. Rayonier Advanced Materials shares last traded at $9.9050, with a volume of 777,318 shares traded.

Analyst Upgrades and Downgrades

RYAM has been the topic of several recent research reports. Wall Street Zen raised shares of Rayonier Advanced Materials from a "sell" rating to a "hold" rating in a research report on Saturday, February 21st. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Rayonier Advanced Materials in a research report on Thursday, January 22nd. Finally, Royal Bank Of Canada raised their price target on shares of Rayonier Advanced Materials from $9.00 to $14.00 and gave the company an "outperform" rating in a research report on Thursday, March 5th. One research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $14.00.

Rayonier Advanced Materials Stock Performance

The company's 50-day simple moving average is $9.67 and its 200 day simple moving average is $7.83. The company has a current ratio of 1.58, a quick ratio of 0.92 and a debt-to-equity ratio of 2.39. The stock has a market cap of $667.54 million, a P/E ratio of -1.57 and a beta of 2.03.

Rayonier Advanced Materials (NYSE:RYAM - Get Free Report) last posted its earnings results on Tuesday, March 3rd. The basic materials company reported ($0.28) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.19). Rayonier Advanced Materials had a negative return on equity of 19.70% and a negative net margin of 28.65%.The firm had revenue of $417.55 million for the quarter, compared to the consensus estimate of $364.07 million. As a group, sell-side analysts expect that Rayonier Advanced Materials Inc. will post -0.08 EPS for the current fiscal year.

Institutional Investors Weigh In On Rayonier Advanced Materials

A number of hedge funds have recently made changes to their positions in RYAM. Millennium Management LLC raised its stake in shares of Rayonier Advanced Materials by 38.0% during the 1st quarter. Millennium Management LLC now owns 1,168,291 shares of the basic materials company's stock worth $6,718,000 after purchasing an additional 321,613 shares during the period. Caxton Associates LLP bought a new stake in shares of Rayonier Advanced Materials during the 1st quarter worth $248,000. Empowered Funds LLC raised its holdings in shares of Rayonier Advanced Materials by 4.2% in the 1st quarter. Empowered Funds LLC now owns 372,031 shares of the basic materials company's stock worth $2,139,000 after purchasing an additional 15,071 shares during the period. Geode Capital Management LLC raised its holdings in shares of Rayonier Advanced Materials by 1.3% in the 2nd quarter. Geode Capital Management LLC now owns 1,539,236 shares of the basic materials company's stock worth $5,927,000 after purchasing an additional 19,999 shares during the period. Finally, Marshall Wace LLP raised its holdings in shares of Rayonier Advanced Materials by 923.8% in the 2nd quarter. Marshall Wace LLP now owns 138,904 shares of the basic materials company's stock worth $535,000 after purchasing an additional 125,336 shares during the period. 68.64% of the stock is currently owned by institutional investors.

About Rayonier Advanced Materials

Rayonier Advanced Materials, Inc is a publicly traded specialty bioproducts company focused on the production of high-purity cellulose and engineered wood products. Headquartered in Jacksonville, Florida, the company operates a network of manufacturing facilities across North America, New Zealand and Europe. Its cellulose specialties business produces dissolving pulps and high-purity fibers that serve a range of end markets, including food and beverage, personal care, pharmaceuticals and textiles.

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