H. B. Fuller (NYSE:FUL) and Rayonier Advanced Materials (NYSE:RYAM) Financial Comparison

H. B. Fuller (NYSE:FUL) and Rayonier Advanced Materials (NYSE:RYAM) are both materials companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, risk, analyst recommendations, profitability, dividends, earnings and valuation.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for H. B. Fuller and Rayonier Advanced Materials, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
H. B. Fuller	0	3	4	1	2.75
Rayonier Advanced Materials	1	1	1	0	2.00

H. B. Fuller presently has a consensus price target of $64.62, indicating a potential upside of 28.54%. Rayonier Advanced Materials has a consensus price target of $13.00, indicating a potential upside of 82.20%. Given Rayonier Advanced Materials’ higher possible upside, analysts clearly believe Rayonier Advanced Materials is more favorable than H. B. Fuller.

Valuation & Earnings

This table compares H. B. Fuller and Rayonier Advanced Materials”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
H. B. Fuller	$3.47 billion	0.78	$151.97 million	$3.59	14.00
Rayonier Advanced Materials	$1.47 billion	0.33	-$420.67 million	($2.10)	-3.40

H. B. Fuller has higher revenue and earnings than Rayonier Advanced Materials. Rayonier Advanced Materials is trading at a lower price-to-earnings ratio than H. B. Fuller, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

95.9% of H. B. Fuller shares are held by institutional investors. Comparatively, 68.6% of Rayonier Advanced Materials shares are held by institutional investors. 1.8% of H. B. Fuller shares are held by company insiders. Comparatively, 3.2% of Rayonier Advanced Materials shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares H. B. Fuller and Rayonier Advanced Materials’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
H. B. Fuller	5.56%	12.65%	4.97%
Rayonier Advanced Materials	-9.53%	-46.19%	-7.28%

Volatility & Risk

H. B. Fuller has a beta of 0.99, indicating that its stock price is 1% less volatile than the S&P 500. Comparatively, Rayonier Advanced Materials has a beta of 1.84, indicating that its stock price is 84% more volatile than the S&P 500.

Summary

H. B. Fuller beats Rayonier Advanced Materials on 12 of the 15 factors compared between the two stocks.

About H. B. Fuller

H.B. Fuller Company, together with its subsidiaries, formulates, manufactures, and markets adhesives, sealants, coatings, polymers, tapes, encapsulants, additives, and other specialty chemical products. It operates through three segments: Hygiene, Health and Consumable Adhesives; Engineering Adhesives; and Construction Adhesives. The Hygiene, Health and Consumable Adhesives segment produces and supplies specialty industrial adhesives, such as thermoplastic, thermoset, reactive, water-based, and solvent-based products for applications in various markets, including packaging, converting, nonwoven and hygiene, and health and beauty. The Engineering Adhesives segment produces and supplies high performance industrial adhesives comprising reactive, light cure, two-part liquids, polyurethane, silicone, film, and fast cure products to the durable assembly, performance wood and textile, transportation, electronics, clean energy, aerospace and defense, appliance, heavy machinery, and insulating glass markets. The Construction Adhesives segment provides products used for tile setting, commercial roofing, heating, ventilation, and air conditioning and insulation applications, as well as caulks and sealants for the consumer market and professional trade. The company sells its products directly to customers, as well as through distributors and retailers in the Americas, Europe, India, the Middle East, Africa, and the Asia Pacific. H.B. Fuller Company was founded in 1887 and is headquartered in Saint Paul, Minnesota.

About Rayonier Advanced Materials

Rayonier Advanced Materials Inc. manufactures and sells cellulose specialty products in the United States, China, Latin America, Canada, Japan, Europe, Latin America, other Asian countries, and internationally. It operates through High Purity Cellulose, Paperboard, and High-Yield Pulp segments. The company’s 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. It 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, the company provides paperboards for packaging, printing documents, brochures, promotional materials, paperback books and catalog covers, file folders, tags, and lottery tickets; and high-yield pulps to produces hardwood aspen, maple, and birch species for paperboard, packaging, printing and writing papers, and various other paper products. The company was founded in 1926 and is headquartered in Jacksonville, Florida.