Royal Bank Of Canada Issues Pessimistic Forecast for Rayonier Advanced Materials (NYSE:RYAM) Stock Price

Key Points

• Royal Bank of Canada lowered its price target on Rayonier Advanced Materials from $14 to $13, while keeping an outperform rating. The new target still implies about 59% upside from the previous close.
• Sentiment from other analysts has turned more cautious, with multiple firms cutting RYAM to sell or strong sell. Overall, MarketBeat shows a consensus rating of Reduce with a $13 average price target.
• The stock was trading around $8.17, up slightly on the day, but the company recently reported a wider-than-expected loss of $1.22 per share versus an estimated loss of $0.62. Despite higher-than-expected revenue, analysts expect the company to post -1.16 EPS for the full year.

Rayonier Advanced Materials (NYSE:RYAM - Get Free Report) had its price target reduced by analysts at Royal Bank Of Canada from $14.00 to $13.00 in a research note issued to investors on Friday,Benzinga reports. The firm presently has an "outperform" rating on the basic materials company's stock. Royal Bank Of Canada's price target suggests a potential upside of 59.12% from the company's previous close.

A number of other brokerages have also recently commented on RYAM. Wall Street Zen cut Rayonier Advanced Materials from a "hold" rating to a "sell" rating in a research report on Sunday, July 12th. Zacks Research cut Rayonier Advanced Materials from a "hold" rating to a "strong sell" rating in a research note on Tuesday, July 7th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Rayonier Advanced Materials in a report on Tuesday, April 21st. One equities research analyst has rated the stock with a Buy rating and two have given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Reduce" and a consensus price target of $13.00.

Rayonier Advanced Materials Stock Up 0.2%

Shares of Rayonier Advanced Materials stock traded up $0.02 during trading on Friday, hitting $8.17. The company's stock had a trading volume of 351,493 shares, compared to its average volume of 1,053,181. Rayonier Advanced Materials has a 52 week low of $3.35 and a 52 week high of $11.85. The company has a market capitalization of $550.98 million, a PE ratio of -1.16 and a beta of 1.78. The company has a fifty day simple moving average of $8.34 and a two-hundred day simple moving average of $8.82. The company has a debt-to-equity ratio of 3.21, a quick ratio of 0.79 and a current ratio of 1.37.

Rayonier Advanced Materials (NYSE:RYAM - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The basic materials company reported ($1.22) EPS for the quarter, missing the consensus estimate of ($0.62) by ($0.60). Rayonier Advanced Materials had a negative return on equity of 43.24% and a negative net margin of 32.86%.The business had revenue of $319.06 million for the quarter, compared to the consensus estimate of $302.63 million. Equities research analysts predict that Rayonier Advanced Materials will post -1.16 earnings per share for the current year.

Hedge Funds Weigh In On Rayonier Advanced Materials

Several hedge funds and other institutional investors have recently added to or reduced their stakes in RYAM. Nantahala Capital Management LLC raised its stake in shares of Rayonier Advanced Materials by 252.6% in the fourth quarter. Nantahala Capital Management LLC now owns 1,800,000 shares of the basic materials company's stock worth $10,602,000 after purchasing an additional 1,289,490 shares during the last quarter. Charles Schwab Investment Management Inc. increased its holdings in Rayonier Advanced Materials by 26.0% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 1,687,949 shares of the basic materials company's stock worth $9,942,000 after buying an additional 348,589 shares in the last quarter. Geode Capital Management LLC raised its position in Rayonier Advanced Materials by 0.6% in the 4th quarter. Geode Capital Management LLC now owns 1,548,346 shares of the basic materials company's stock worth $9,122,000 after buying an additional 9,234 shares during the last quarter. Millennium Management LLC lifted its stake in Rayonier Advanced Materials by 177.3% during the 3rd quarter. Millennium Management LLC now owns 1,359,752 shares of the basic materials company's stock valued at $9,817,000 after acquiring an additional 869,486 shares during the period. Finally, Irenic Capital Management LP bought a new position in Rayonier Advanced Materials during the 1st quarter valued at about $15,013,000. 68.64% of the stock is 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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