The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Alpha Metallurgical (AMR) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Basic Materials peers, we might be able to answer that question.
Alpha Metallurgical is one of 236 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 sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. Alpha Metallurgical is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for AMR's full-year earnings has moved 6.2% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that AMR has returned about 2.6% since the start of the calendar year. At the same time, Basic Materials stocks have gained an average of 1.9%. This shows that Alpha Metallurgical is outperforming its peers so far this year.
Piedmont Lithium Inc. (PLL) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 38.8%.
In Piedmont Lithium Inc.'s case, the consensus EPS estimate for the current year increased 140.5% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Alpha Metallurgical is a member of the Mining - Miscellaneous industry, which includes 50 individual companies and currently sits at #174 in the Zacks Industry Rank. On average, stocks in this group have lost 4.1% this year, meaning that AMR is performing better in terms of year-to-date returns. Piedmont Lithium Inc. is also part of the same industry.
Investors interested in the Basic Materials sector may want to keep a close eye on Alpha Metallurgical and Piedmont Lithium Inc. as they attempt to continue their solid performance.
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Today, See These 5 Potential Home Runs >>Alpha Metallurgical Resources, Inc. (AMR) : Free Stock Analysis Report
Piedmont Lithium Inc. (PLL) : Free Stock Analysis Report
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