DividendChannel.com

Avery Dennison Moves Up In Analyst Rankings, Passing Martin Marietta Materials

By Dividend Channel Staff, Tuesday, March 26, 12:12 PM ET

In a study of analyst recommendations at the major brokerages, for the underlying components of the S&P 500, Avery Dennison Corp (NYSE:AVY) has taken over the #109 spot from Martin Marietta Materials, Inc. (NYSE:MLM), according to ETF Channel. Below is a chart of Avery Dennison Corp versus Martin Marietta Materials, Inc. plotting their respective rank within the S&P 500 over time (AVY plotted in blue; MLM plotted in green):

In forming the rank, the analyst opinions from the major brokerage houses were tallied, and averaged; then, the underlying components were ranked according to those averages. Investors often interpret analyst opinions from different angles — a popular analyst pick could mean that many sharp minds individually came to the same bullish conclusion, and therefore the stock should do well... but it could also mean that if the company makes any slight stumble, that would come as a negative surprise and cause a downward impact on the stock.

From the other direction, when companies have a low rank among analysts, it isn't necessarily the case that investors should conclude that the stock will perform poorly. It can mean that of course, but: a bullish investor who can make a case for a positive future catalyst could also take the contrarian angle and recognize that there is lots of room for upside since the stock is presently so out of favor.

For these reasons, we at ETF Channel find value to putting together these rankings, because both the top and the bottom ends of the lists can often make for some interesting stock picking ideas for further research.

Below is a three month price history chart comparing the stock performance of AVY vs. MLM:

AVY,MLM Relative Performance Chart

AVY is currently trading up about 2.2%, while MLM is up about 0.4% midday Tuesday.


This Article's Word Cloud:   Analyst   Analysts   Arial   Avery   Below   Broker   Channel   Corp   Current   Dennison   Favorites   Forgotten   From   Giants   Investors   Least   Marietta   Martin   Materials   NYSE   Picks   Rank   Start   about   according   also   analyst   bullish   case   chart   components   could   fillColor   from   major   make   mean   often   opinions   over   plotted   rank   raquo   should   slideshow   stock   that   these   underlying   were

Avery Dennison Moves Up In Analyst Rankings, Passing Martin Marietta Materials | www.DividendChannel.com

Copyright © 2010 - 2024, All Rights Reserved Nothing in Dividend Channel is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy. Video widget and dividend videos powered by Market News Video. Quote data delayed at least 20 minutes; data powered by Ticker Technologies, and Mergent. Contact Dividend Channel; Meet Our Editorial Staff.