Is Arconic (ARNC) Stock Outpacing Its Basic Materials Peers This Year?
Investors focused on the Basic Materials space have likely heard of Arconic (ARNC), but is the stock performing well in comparison to the rest of its sector peers? A quick glance at the company's year-to-date performance in comparison to the rest of the Basic Materials sector should help us answer this question.
Arconic is a member of the Basic Materials sector. This group includes 246 individual stocks and currently holds a Zacks Sector Rank of #16. 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. ARNC is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ARNC's full-year earnings has moved 3.95% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, ARNC has gained about 71.47% so far this year. In comparison, Basic Materials companies have returned an average of 11.84%. This means that Arconic is performing better than its sector in terms of year-to-date returns.
Breaking things down more, ARNC is a member of the Mining - Non Ferrous industry, which includes 11 individual companies and currently sits at #85 in the Zacks Industry Rank. Stocks in this group have gained about 26.34% so far this year, so ARNC is performing better this group in terms of year-to-date returns.
Investors with an interest in Basic Materials stocks should continue to track ARNC. The stock will be looking to continue its solid performance.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.