The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Rayonier Advanced Materials (RYAM - Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? One simple way to answer this question is to take a look at the year-to-date performance of RYAM and the rest of the Basic Materials group's stocks.
Rayonier Advanced Materials is a member of our Basic Materials group, which includes 239 different companies and currently sits at #14 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. RYAM is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for RYAM's full-year earnings has moved 15.08% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, RYAM has gained about 2.25% so far this year. Meanwhile, stocks in the Basic Materials group have lost about 6.77% on average. As we can see, Rayonier Advanced Materials is performing better than its sector in the calendar year.
Looking more specifically, RYAM belongs to the Chemical - Plastic industry, which includes 11 individual stocks and currently sits at #92 in the Zacks Industry Rank. This group has lost an average of 4.01% so far this year, so RYAM is performing better in this area.
Going forward, investors interested in Basic Materials stocks should continue to pay close attention to RYAM as it looks to continue its solid performance.