-1.58%
-1.94%
1.63%
21.65%
86.41%
29.86%
162.66%

Company Description

Rayonier Advanced Materials Inc.manufactures and sells cellulose specialty products in the United States, China, Canada, Japan, Europe, Latin America, other Asian countries, and internationally.The company operates through High Purity Cellulose, Paperboard, and High-Yield Pulp segments.


Its products include cellulose specialties, which are natural polymers that are used as raw materials to manufacture a range of consumer-oriented products, such as liquid crystal displays, impact-resistant plastics, thickeners for food products, pharmaceuticals, cosmetics, cigarette filters, high-tenacity rayon yarn for tires and industrial hoses, food casings, paints, and lacquers.The company also offers commodity products, such as commodity viscose pulp used in woven applications, including rayon textiles for clothing and other fabrics, as well as in non-woven applications comprising baby wipes, cosmetic and personal wipes, industrial wipes, and mattress ticking; and absorbent materials consisting of fluff fibers that are used as an absorbent medium in disposable baby diapers, feminine hygiene products, incontinence pads, convalescent bed pads, industrial towels and wipes, and non-woven fabrics.In addition, it provides paperboards for packaging, printing documents, brochures, promotional materials, paperback books or catalog covers, file folders, tags, and tickets; and high-yield pulps to produce paperboard and packaging products, printing and writing papers, and various other paper products.


The company was founded in 1926 and is headquartered in Jacksonville, Florida.

Market Data

Last Price 8.09
Change Percentage -1.58%
Open 8.18
Previous Close 8.22
Market Cap ( Millions) 533
Volume 47171
Year High 10.28
Year Low 3.15
M A 50 8.17
M A 200 6.94

Financial Ratios

FCF Yield 17.01%
Dividend Yield 0.00%
ROE -11.26%
Debt / Equity 105.53%
Net Debt / EBIDTA 608.46%
Price To Book 0.73
Price Earnings Ratio -6.36
Price To FCF 5.88
Price To sales 0.33
EV / EBITDA 11.18

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> High Purity Cellulose

Expected Growth : 5 %

What the company do ?

High Purity Cellulose from Rayonier Advanced Materials Inc. is a highly refined cellulose product used in various applications, including pharmaceuticals, food, and cosmetics.

Why we expect these perspectives ?

High purity cellulose from Rayonier Advanced Materials Inc. is driven by increasing demand for sustainable and eco-friendly products, growing use in pharmaceutical and food applications, and rising prices due to supply chain constraints and raw material costs. Additionally, the company's strategic investments in capacity expansion and product diversification contribute to its 5% growth.

Segment nΒ°2 -> Paperboard

Expected Growth : 3 %

What the company do ?

Paperboard from Rayonier Advanced Materials Inc. is a type of paper-based material used in packaging, made from wood pulp and recycled fibers, offering durability and sustainability.

Why we expect these perspectives ?

Rayonier Advanced Materials Inc.'s paperboard segment growth is driven by increasing demand for sustainable packaging, rising e-commerce sales, and growing adoption of paper-based products in the food service industry. Additionally, the company's strategic investments in operational efficiency and product innovation are expected to contribute to the segment's growth.

Segment nΒ°3 -> High-Yield Pulp

Expected Growth : 4 %

What the company do ?

High-Yield Pulp from Rayonier Advanced Materials Inc. is a high-strength pulp used in paper, tissue, and specialty products, offering improved strength and durability.

Why we expect these perspectives ?

Rayonier Advanced Materials' High-Yield Pulp segment growth is driven by increasing demand for fluff pulp in diapers and hygiene products, strong pricing power, and capacity expansion projects. Additionally, the company's focus on operational efficiency and cost reduction initiatives contribute to its growth momentum.

Segment nΒ°4 -> Eliminations

Expected Growth : 2 %

What the company do ?

Eliminations from Rayonier Advanced Materials Inc. refer to the removal of intercompany transactions and balances between the company's subsidiaries, providing a consolidated view of the company's financial performance.

Why we expect these perspectives ?

Rayonier Advanced Materials Inc.'s 2% growth is driven by increasing demand for cellulose specialties, strong pulp prices, and growing sales of high-purity cellulose. Additionally, the company's cost savings initiatives, operational efficiencies, and strategic capital investments contribute to its growth momentum.

Rayonier Advanced Materials Inc. Products

Product Range What is it ?
Pulp Rayonier Advanced Materials Inc. produces high-quality pulp used in the manufacturing of paper, tissue, and other cellulose-based products.
High-Yield Pulp A high-strength pulp used in the production of packaging, paperboard, and specialty papers.
Fluff Pulp A soft, absorbent pulp used in the production of baby diapers, adult incontinence products, and feminine hygiene products.
Lignin A natural, renewable, and biodegradable product used in the production of construction materials, asphalt, and other industrial applications.
Bio-chemicals A range of bio-based chemicals used in the production of plastics, adhesives, and other industrial applications.

Rayonier Advanced Materials Inc.'s Porter Forces

Rayonier Advanced Materials Inc. faces moderate threat from substitutes, as customers have limited alternatives for its cellulose specialties products.

Rayonier Advanced Materials Inc. has a diverse customer base, which reduces the bargaining power of individual customers.

Rayonier Advanced Materials Inc. relies on a few key suppliers for raw materials, which gives them some bargaining power.

The high capital requirements and regulatory hurdles make it difficult for new entrants to enter the cellulose specialties market.

The cellulose specialties market is highly competitive, with several established players competing for market share.

Capital Structure

Value
Debt Weight 51.12%
Debt Cost 12.25%
Equity Weight 48.88%
Equity Cost 19.17%
WACC 15.63%
Leverage 104.58%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
ASIX AdvanSix Inc. manufactures and sells polymer resins in the United States and internationally. It offers Nylon 6, a polymer resin, which is a synthetic material used to produce fibers, filaments, …
ORGN Micromidas, Inc., doing business as Origin Materials, produces and commercializes plant-based PET plastic. It develops a platform for turning the carbon found in biomass into useful materials, while capturing carbon …
LXU LSB Industries, Inc. engages in the manufacture, marketing, and sale of chemical products. The company provides nitrogen-based fertilizers, such as ammonia, fertilizer grade ammonium nitrate (HDAN), and urea ammonia nitrate …
VHI Valhi, Inc. engages in the chemicals, component products, and real estate management and development businesses in the Asia Pacific, Europe, North America, and internationally. The company's Chemicals segment produces and …
ASPI ASP Isotopes Inc., a pre-commercial stage advanced materials company, focuses on the production, distribution, marketing, and sale of isotopes. It develops Molybdenum-100, a non-radioactive isotope for the medical industry; Carbon-14; …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
8.09$
Current Price
8.09$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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