For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Avino Silver (ASM) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? 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.
Avino Silver is a member of the Basic Materials sector. This group includes 253 individual stocks and currently holds a Zacks Sector Rank of #2. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Avino Silver is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for ASM's full-year earnings has moved 65.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, ASM has returned 66.8% so far this year. At the same time, Basic Materials stocks have gained an average of 53.4%. This means that Avino Silver is outperforming the sector as a whole this year.
Another Basic Materials stock, which has outperformed the sector so far this year, is Nexa Resources S.A. (NEXA). The stock has returned 58.8% year-to-date.
The consensus estimate for Nexa Resources S.A.'s current year EPS has increased 50.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Avino Silver belongs to the Mining - Silver industry, a group that includes 9 individual stocks and currently sits at #16 in the Zacks Industry Rank. On average, stocks in this group have gained 285.9% this year, meaning that ASM is slightly underperforming its industry in terms of year-to-date returns.
On the other hand, Nexa Resources S.A. belongs to the Mining - Miscellaneous industry. This 73-stock industry is currently ranked #48. The industry has moved +61% year to date.
Investors with an interest in Basic Materials stocks should continue to track Avino Silver and Nexa Resources S.A.. These stocks will be looking to continue their solid performance.
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Avino Silver (ASM): Free Stock Analysis Report Nexa Resources S.A. (NEXA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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