In This Article:
For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Iamgold (IAG) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
Iamgold is one of 234 companies in the Basic Materials group. The Basic Materials group currently sits at #14 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Iamgold is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for IAG's full-year earnings has moved 20.7% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, IAG has gained about 103.6% so far this year. Meanwhile, stocks in the Basic Materials group have lost about 10.9% on average. This shows that Iamgold is outperforming its peers so far this year.
Another Basic Materials stock, which has outperformed the sector so far this year, is Methanex (MEOH). The stock has returned 2.3% year-to-date.
The consensus estimate for Methanex's current year EPS has increased 28.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Iamgold belongs to the Mining - Gold industry, a group that includes 39 individual companies and currently sits at #126 in the Zacks Industry Rank. On average, stocks in this group have gained 8.5% this year, meaning that IAG is performing better in terms of year-to-date returns.
In contrast, Methanex falls under the Chemical - Diversified industry. Currently, this industry has 29 stocks and is ranked #203. Since the beginning of the year, the industry has moved -11.7%.
Iamgold and Methanex could continue their solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to these stocks.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Iamgold Corporation (IAG) : Free Stock Analysis Report
Methanex Corporation (MEOH) : Free Stock Analysis Report