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Is Cleveland-Cliffs (CLF) Outperforming Other Basic Materials Stocks This Year?

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Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Has Cleveland-Cliffs (CLF - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Cleveland-Cliffs is one of 247 companies in the Basic Materials group. The Basic Materials group currently sits at #5 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 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. Cleveland-Cliffs is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for CLF's full-year earnings has moved 60.4% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that CLF has returned about 3.9% since the start of the calendar year. In comparison, Basic Materials companies have returned an average of 0.8%. As we can see, Cleveland-Cliffs is performing better than its sector in the calendar year.

Another Basic Materials stock, which has outperformed the sector so far this year, is Kronos Worldwide (KRO - Free Report) . The stock has returned 3.3% year-to-date.

Over the past three months, Kronos Worldwide's consensus EPS estimate for the current year has increased 28.9%. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Cleveland-Cliffs is a member of the Mining - Miscellaneous industry, which includes 51 individual companies and currently sits at #94 in the Zacks Industry Rank. This group has gained an average of 1.1% so far this year, so CLF is performing better in this area.

Kronos Worldwide, however, belongs to the Chemical - Diversified industry. Currently, this 40-stock industry is ranked #100. The industry has moved +1.8% so far this year.

Going forward, investors interested in Basic Materials stocks should continue to pay close attention to Cleveland-Cliffs and Kronos Worldwide as they could maintain their solid performance.


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