For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Carpenter Technology (CRS) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
Carpenter Technology 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 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. Carpenter Technology is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for CRS' full-year earnings has moved 5.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, CRS has gained about 91.7% so far this year. At the same time, Basic Materials stocks have gained an average of 30.7%. This shows that Carpenter Technology is outperforming its peers so far this year.
One other Basic Materials stock that has outperformed the sector so far this year is Rio Tinto (RIO). The stock is up 36.7% year-to-date.
Over the past three months, Rio Tinto's consensus EPS estimate for the current year has increased 7.8%. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Carpenter Technology belongs to the Steel - Speciality industry, a group that includes 4 individual companies and currently sits at #40 in the Zacks Industry Rank. Stocks in this group have gained about 70.5% so far this year, so CRS is performing better this group in terms of year-to-date returns.
Rio Tinto, however, belongs to the Mining - Miscellaneous industry. Currently, this 69-stock industry is ranked #160. The industry has moved +36.5% so far this year.
Investors interested in the Basic Materials sector may want to keep a close eye on Carpenter Technology and Rio Tinto as they attempt to continue their solid performance.
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Carpenter Technology Corporation (CRS): Free Stock Analysis Report Rio Tinto PLC (RIO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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