Material Sector Looks Good: Deltic Timber Corporation (DEL) Among Favorites

With the improvement in the domestic economy and a bullish Chinese economy, material stocks have started looking attractive again. Talking with CNBC, Vince Farrell of Soleil Securities shared his outlook on the sector.

He emphasized that investors should focus on quality stocks and should evaluate them on an individual basis. He particularly liked Deltic Timber Corporation (NYSE: DEL), which is a small company with very attractive valuation. Deltic Timber also owns drilling rights for natural gas. His other pick was Rayonier Inc. (NYSE: RYN) which deals in timber. It also has a specialty pulp segment, which is used in cigarettes and filters.