Rayonier Advanced Materials (RYAM) AI Stock Analysis

• Market Cap: $492.49M
• Dividend Yield: N/A
• Average Volume (3M): 527.04K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.61
• Revenue Growth: -9.75%
• EPS Growth: -386.63%
• Country: US
• Employees: 2,350
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): -0.07
• Shares Outstanding: 67,005,590
• 10 Day Avg. Volume: 696,472
• 30 Day Avg. Volume: 527,037
• PEG Ratio: 0.23
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.33
• P/FCF Ratio: 5.67
• Enterprise Value/Market Cap: 2.47
• Enterprise Value/Revenue: 0.83
• Enterprise Value/Gross Profit: 10.27
• Enterprise Value/Ebitda: 8.06
• 1Y Price Target: $9.00
• Price Target Upside: 25.17% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: $7.00 ▼(-2.64% Downside)

The score is primarily held back by weak financial performance (declining revenue, very negative net margins, and negative free cash flow). Technicals are supportive with the stock above major moving averages, but overbought RSI and a slightly negative MACD temper the signal. Valuation is difficult to justify on earnings due to a negative P/E, while the latest earnings call was mixed—guidance was cut, but cost actions and strategic projects provide some offsetting upside potential.

Positive Factors

High-margin Cellulose Specialties

The Cellulose Specialties segment delivering ~32% EBITDA margins indicates a structurally advantaged, higher-value product line. Durable margin recovery supports cash generation, funds reinvestment, and provides downside protection versus commoditized pulp segments over the next 2–6 months.

Biomaterials growth pipeline

Large-scale biomaterial projects diversify revenue into higher-ROI businesses and materially expand long-term EBITDA potential. A projected >$50M EBITDA contribution from AGE materially improves structural earnings power and supports management’s >$300M EBITDA target by 2027.

Cost reductions improving structural margins

A defined $30M cost program plus capital projects offering incremental EBITDA create sustainable margin upside. Coupled with already-positive operating cash flow coverage, these structural actions reduce burn, increase free-cash-flow probability, and improve resilience across cycles.

Negative Factors

Declining revenue and deep negative margins

Persistently declining revenue and a deeply negative net margin indicate fundamental demand or pricing issues and poor cost absorption. This undermines reinvestment capacity and makes multi-quarter recovery dependent on sustained volume/pricing improvements or structural costs cutting.

Negative free cash flow and working capital strain

Material negative adjusted FCF (-$83M YTD) constrains the firm’s ability to self-fund capex and biomaterial rollouts, increases reliance on external financing, and raises execution risk for multi-quarter projects unless cash conversion meaningfully improves.

Executive transition introduces execution risk

A CEO turnover during an active strategic pivot (biomaterials, cost programs, Temiscaming recovery) creates execution and continuity risk. New leadership may change priorities or timelines, which can delay structural initiatives critical to restoring profitability over the next several quarters.

Rayonier Advanced Materials Business Overview & Revenue Model

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.

How the Company Makes Money

Rayonier Advanced Materials generates revenue through the sale of its cellulose specialties and high-purity cellulose products. The company operates on a business model that focuses on both volume sales and pricing strategies tailored to the demands of various industries. Key revenue streams include contracts with major customers in the textile and chemical industries, where consistent product quality and supply reliability are critical. Additionally, RYAM benefits from strategic partnerships with manufacturers and distributors that enhance its market reach. Factors contributing to its earnings include fluctuations in demand for cellulose-based products, innovations in product applications, and the company’s ability to manage production costs effectively.

Rayonier Advanced Materials Financial Statement Overview

Summary

Rayonier Advanced Materials is experiencing financial difficulties, with declining revenues and significant net losses. While there is some operational cash flow strength, the overall financial health is concerning due to negative profitability and high leverage.

Income Statement

Rayonier Advanced Materials shows declining revenue with a negative growth rate of -3.17% TTM. The gross profit margin is low at 8.06%, and the net profit margin is significantly negative at -28.22%, indicating substantial losses. EBIT and EBITDA margins are also weak, reflecting operational challenges.

Balance Sheet

The company has a moderate debt-to-equity ratio of 0.79 TTM, showing some leverage but not excessively high. However, the return on equity is negative at -60.48%, indicating poor profitability. The equity ratio is not provided, but the overall balance sheet suggests financial instability.

Cash Flow

Operating cash flow is positive, with a coverage ratio of 1.56 TTM, indicating some ability to cover net income losses. However, free cash flow is negative, though it has shown significant growth. The free cash flow to net income ratio is positive, suggesting some cash flow resilience despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.47B	1.63B	1.64B	1.72B	1.41B	1.34B
Gross Profit	118.64M	165.58M	88.15M	123.08M	74.72M	63.43M
EBITDA	151.13M	173.69M	81.32M	176.94M	121.82M	102.72M
Net Income	-415.39M	-39.00M	-101.83M	-14.92M	66.41M	555.00K
Balance Sheet
Total Assets	1.80B	2.13B	2.18B	2.35B	2.45B	2.53B
Cash, Cash Equivalents and Short-Term Investments	77.03M	125.22M	75.77M	151.80M	291.82M	93.65M
Total Debt	822.24M	729.82M	777.46M	853.13M	928.71M	1.08B
Total Liabilities	1.44B	1.41B	1.44B	1.52B	1.63B	1.83B
Stockholders Equity	338.21M	713.88M	746.45M	829.31M	814.34M	695.09M
Cash Flow
Free Cash Flow	-80.38M	95.67M	8.60M	-69.41M	140.01M	62.60M
Operating Cash Flow	46.57M	203.61M	136.27M	68.81M	233.22M	124.47M
Investing Cash Flow	-125.45M	-107.94M	-127.28M	-94.17M	85.39M	-77.82M
Financing Cash Flow	14.94M	-42.48M	-86.95M	-73.11M	-156.66M	-19.39M

Rayonier Advanced Materials Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RYAM, the sentiment is Positive. The current price of 7.19 is above the 20-day moving average (MA) of 6.13, above the 50-day MA of 6.21, and above the 200-day MA of 5.35, indicating a bullish trend. The MACD of 0.23 indicates Negative momentum. The RSI at 80.00 is Negative, neither overbought nor oversold. The STOCH value of 91.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RYAM.

Rayonier Advanced Materials Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LXU	58 Neutral	$637.43M	-875.47	-0.13%	―	12.49%	95.48%
ASIX	58 Neutral	$477.11M	9.46	6.62%	3.81%	-5.05%	35.01%
TROX	57 Neutral	$805.45M	―	-18.65%	8.27%	-7.81%	-334.15%
RYAM	52 Neutral	$492.49M	-1.21	-78.11%	―	-9.75%	-386.63%
FF	51 Neutral	$141.92M	-4.13	-18.09%	7.12%	-49.82%	-195.74%
ORGN	40 Underperform	$34.94M	-0.45	-21.13%	―	-28.47%	16.83%

Rayonier Advanced Materials Corporate Events

Rayonier Advanced Materials CEO Announces Retirement Plan

On December 10, 2025, Rayonier Advanced Materials announced that its President and CEO, De Lyle W. Bloomquist, will retire by the company’s 2026 Annual Meeting of Stockholders in May. The Board has initiated a search for his successor, engaging a leading executive search firm, reflecting their commitment to governance and long-term value creation. Bloomquist’s leadership over the past four years has been pivotal in advancing the company’s BioFuture vision and positioning it for sustainable growth.

The most recent analyst rating on (RYAM) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on Rayonier Advanced Materials stock, see the RYAM Stock Forecast page.