Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Is DRDGOLD (DRD) one of those stocks right now? 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.
DRDGOLD is one of 236 individual stocks in the Basic Materials sector. Collectively, these companies sit at #15 in 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 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. DRDGOLD is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for DRD's full-year earnings has moved 80% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, DRD has moved about 165.4% on a year-to-date basis. Meanwhile, the Basic Materials sector has returned an average of 18.8% on a year-to-date basis. This means that DRDGOLD is outperforming the sector as a whole this year.
Intrepid Potash (IPI) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 34.4%.
For Intrepid Potash, the consensus EPS estimate for the current year has increased 122.6% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, DRDGOLD belongs to the Mining - Gold industry, a group that includes 39 individual stocks and currently sits at #150 in the Zacks Industry Rank. Stocks in this group have gained about 100.2% so far this year, so DRD is performing better this group in terms of year-to-date returns.
Intrepid Potash, however, belongs to the Fertilizers industry. Currently, this 6-stock industry is ranked #2. The industry has moved +20.7% so far this year.
Investors interested in the Basic Materials sector may want to keep a close eye on DRDGOLD and Intrepid Potash as they attempt to continue their solid performance.
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DRDGOLD Limited (DRD): Free Stock Analysis Report Intrepid Potash, Inc (IPI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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