The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Centerra Gold Inc. (CGAU) 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.
Centerra Gold Inc. is one of 241 companies in the Basic Materials group. The Basic Materials group currently sits at #13 within 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. Centerra Gold Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for CGAU's full-year earnings has moved 13% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
According to our latest data, CGAU has moved about 151% on a year-to-date basis. Meanwhile, stocks in the Basic Materials group have gained about 29.8% on average. This means that Centerra Gold Inc. is performing better than its sector in terms of year-to-date returns.
One other Basic Materials stock that has outperformed the sector so far this year is Agnico Eagle Mines (AEM). The stock is up 117.9% year-to-date.
In Agnico Eagle Mines' case, the consensus EPS estimate for the current year increased 9.5% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Centerra Gold Inc. is a member of the Mining - Gold industry, which includes 41 individual companies and currently sits at #28 in the Zacks Industry Rank. On average, stocks in this group have gained 147.8% this year, meaning that CGAU is performing better in terms of year-to-date returns. Agnico Eagle Mines is also part of the same industry.
Investors interested in the Basic Materials sector may want to keep a close eye on Centerra Gold Inc. and Agnico Eagle Mines as they attempt to continue their solid performance.
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Centerra Gold Inc. (CGAU): Free Stock Analysis Report Agnico Eagle Mines Limited (AEM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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