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 Buenaventura (BVN) 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.
Buenaventura is a member of the Basic Materials sector. This group includes 240 individual stocks and currently holds a Zacks Sector Rank of #7. 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Buenaventura is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for BVN's full-year earnings has moved 24.8% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that BVN has returned about 83.7% since the start of the calendar year. At the same time, Basic Materials stocks have gained an average of 16%. This means that Buenaventura is performing better than its sector in terms of year-to-date returns.
Another Basic Materials stock, which has outperformed the sector so far this year, is Contango ORE, Inc. (CTGO). The stock has returned 103.9% year-to-date.
The consensus estimate for Contango ORE, Inc.'s current year EPS has increased 186.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Buenaventura belongs to the Mining - Silver industry, a group that includes 9 individual companies and currently sits at #11 in the Zacks Industry Rank. On average, stocks in this group have gained 88.1% this year, meaning that BVN is slightly underperforming its industry in terms of year-to-date returns.
Contango ORE, Inc., however, belongs to the Mining - Miscellaneous industry. Currently, this 69-stock industry is ranked #73. The industry has moved +23% so far this year.
Going forward, investors interested in Basic Materials stocks should continue to pay close attention to Buenaventura and Contango ORE, Inc. as they could maintain their solid performance.
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Buenaventura Mining Company Inc. (BVN): Free Stock Analysis Report Contango ORE, Inc. (CTGO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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