For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Equinox Gold (EQX) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Equinox Gold is one of 235 individual stocks in the Basic Materials sector. Collectively, these companies sit at #14 in 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 is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Equinox Gold is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for EQX's full-year earnings has moved 12.9% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
According to our latest data, EQX has moved about 20% on a year-to-date basis. In comparison, Basic Materials companies have returned an average of 1.4%. This means that Equinox Gold is outperforming the sector as a whole this year.
Barrick Gold (GOLD) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 10.5%.
In Barrick Gold's case, the consensus EPS estimate for the current year increased 13.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Equinox Gold belongs to the Mining - Gold industry, which includes 38 individual stocks and currently sits at #48 in the Zacks Industry Rank. On average, stocks in this group have gained 27% this year, meaning that EQX is slightly underperforming its industry in terms of year-to-date returns. Barrick Gold is also part of the same industry.
Investors interested in the Basic Materials sector may want to keep a close eye on Equinox Gold and Barrick Gold as they attempt to continue their solid performance.
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Barrick Gold Corporation (GOLD) : Free Stock Analysis Report
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