For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Fortuna Mining (FSM) 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.
Fortuna Mining is one of 240 individual stocks in the Basic Materials sector. Collectively, these companies sit at #7 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. Fortuna Mining is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for FSM's full-year earnings has moved 2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, FSM has gained about 90.2% so far this year. At the same time, Basic Materials stocks have gained an average of 23.4%. This means that Fortuna Mining is outperforming the sector as a whole this year.
Integra Resources Corp. (ITRG) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 232.2%.
In Integra Resources Corp.'s case, the consensus EPS estimate for the current year increased 55.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Fortuna Mining belongs to the Mining - Miscellaneous industry, a group that includes 69 individual stocks and currently sits at #49 in the Zacks Industry Rank. This group has gained an average of 27.8% so far this year, so FSM is performing better in this area. Integra Resources Corp. is also part of the same industry.
Investors with an interest in Basic Materials stocks should continue to track Fortuna Mining and Integra Resources Corp.. These stocks will be looking to continue their solid performance.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>Fortuna Mining Corp. (FSM) : Free Stock Analysis Report
Integra Resources Corp. (ITRG) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
