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Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Eldorado Gold Corporation (EGO) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Eldorado Gold Corporation is one of 233 companies in the Basic Materials group. The Basic Materials group currently sits at #14 within 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Eldorado Gold Corporation is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for EGO's full-year earnings has moved 4.8% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that EGO has returned about 22.4% since the start of the calendar year. Meanwhile, the Basic Materials sector has returned an average of -2.5% on a year-to-date basis. This means that Eldorado Gold Corporation is outperforming the sector as a whole this year.
Another Basic Materials stock, which has outperformed the sector so far this year, is Kinross Gold (KGC). The stock has returned 62% year-to-date.
The consensus estimate for Kinross Gold's current year EPS has increased 17.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Eldorado Gold Corporation belongs to the Mining - Gold industry, a group that includes 38 individual companies and currently sits at #63 in the Zacks Industry Rank. This group has gained an average of 16.5% so far this year, so EGO is performing better in this area. Kinross Gold is also part of the same industry.
Eldorado Gold Corporation and Kinross Gold could continue their solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to these stocks.
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Eldorado Gold Corporation (EGO) : Free Stock Analysis Report