Coming up with a great trading idea is easier than most investors think. They just need to get their hands on the right tools and data sets to arrive at said insights. After that, it all comes down to managing the price action that occurs after the idea is posted. Today, investors have a chance to reverse-engineer the decision behind one manufacturing stock’s rally.
Specifically, this company provides solutions to the transportation sector, helping several industry companies meet their demand curves. The combination of manufacturing and transportation will give investors the best chance of outperforming the market in the coming quarters, as these are two places where most of the so-called smart money is looking to locate.
There are both technical and fundamental reasons why investors should pay attention to recent analyst forecasts for the stock. Avient company. New York Stock Exchange: AVNTbolstered by these tailwinds that expose them to potential double-digit gains from where the stock trades today, a theme that will become clearer with the following fundamental changes.
Why Avient Stock?
Avient today
- 52 week range
- $35.58
▼
$54.68
- Dividend yield
- 2.55%
- P/E ratio
- 26.12
- Target price
- $55.50
Among the various companies in the chemical industry, one attractive structure sets Avient apart from all other peers. The company’s products provide vital support to the packaging and transportation industry, which can range from simpler consumer and business shipping to commercial and aerospace transportation.
Knowing that activity in the transportation industry is starting to pick up steam, based on the latest Services PMI data, stocks like United Parcel Service Inc. New York Stock Exchange: UPS And FedEx Company. New York Stock Exchange: FDX also saw favorable price action and sentiment from Wall Street.
Investors can see how JP Morgan Chase analysts raised FedEx shares to a high of $372 per share as recently as January 2025, suggesting upside of 36.3% from today’s prices. The consensus price target for United Parcel Service shares of $151.1 per share also implies upside of 16.5%; this current intelligence may be due to recent breakthroughs in the industry.
That’s why Avient is starting to get more attention from the same Wall Street analysts. Moreover, the company is also exposed to potential tailwinds associated with a larger name such as Boeing Company New York Stock Exchange: BAand proper industry diversification will be key to Avient stock reaching new highs.
Market view of Avient stock
Let’s start with the price action: A low price of just 70% of its 52-week high will make it easier for Wall Street analysts to value this company today, as the risk-reward profile of the title favors the bulls. Wells Fargo representatives decided to take on this “low hanging fruit” as recently as December 2024.
These analysts not only reiterated their Outperform ratings on Avient stock, but also raised their estimate to $59 per share. To prove this new point correct, the stock would have to rise 38.8% from where it is trading today, and investors now have several tailwinds to consider from this potential outcome.
The multiple bullish signs in Avient stock could also be behind the company’s short interest falling 12.1% over the past month, a clear sign of bearish capitulation that bulls should consider when constructing their bull thesis. Now a couple of institutional buyers have entered the picture to replace some of those bears.
Avient MarketRank™ Stock Analysis
- Overall MarketRank™
- 98th percentile
- Analyst rating
- Moderate purchase
- Pros/cons
- Growth potential 31.1%
- Short interest level
- Healthy
- Dividend Power
- Moderate
- Environmental assessment
- -4.13
- Mood News
- 1.21
- Insider trading
- Sale of shares
- Project Profit Growth
- 10.53%
See full analysis
State Street officials decided to increase their holdings of Avient shares by 3% as of November 2024, bringing their net position today to a high of $213.9 million, or 4.6% ownership in the company. However, the buying frenzy did not end there: buyers from JP Morgan Chase also decided to purchase Avient shares.
As of December 2024, the institution reported a 22.4% increase in its position, bringing its stake to a high of $30.6 million. Analysts and Wall Street buyers appear to be in consensus on bullish performance for Avient stock in the coming months.
Moreover, some of these views may be further supported by analysts’ current earnings per share (EPS) forecasts. EPS for the same quarter next year is expected to be $0.87, representing a net increase of 33.8% from today’s $0.65.
By leveraging these bullish factors, investors now have a better chance of aligning their portfolios with Wall Street’s winning forecasts, with an excellent risk-reward profile to make the first quarter of 2025 a winner for investors.
Before you consider Avient, you’ll want to hear this.
MarketBeat tracks Wall Street’s top-rated and best-performing analysts daily and the stocks they recommend to their clients. MarketBeat has identified five stocks that top analysts are quietly whispering to their clients to buy now, before the broader market takes hold… and Avient wasn’t on the list.
While Avient currently has an analyst rating of Moderate Buy, the top-rated analysts rate these five stocks as Strong Buys.
View five stocks here
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