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Is Carpenter Technology (CRS) Outperforming Other Basic Materials Stocks This Year?

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The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Carpenter Technology (CRS - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Basic Materials sector should help us answer this question.

Carpenter Technology is one of 240 companies in the Basic Materials group. The Basic Materials group currently sits at #3 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Carpenter Technology is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for CRS' full-year earnings has moved 1.3% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the most recent data, CRS has returned 15.5% so far this year. In comparison, Basic Materials companies have returned an average of -2.9%. This means that Carpenter Technology 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 Perimeter Solutions, SA (PRM - Free Report) . The stock has returned 51.5% year-to-date.

The consensus estimate for Perimeter Solutions, SA's current year EPS has increased 3.6% over the past three months. 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 6 individual companies and currently sits at #93 in the Zacks Industry Rank. On average, this group has gained an average of 9.2% so far this year, meaning that CRS is performing better in terms of year-to-date returns.

In contrast, Perimeter Solutions, SA falls under the Chemical - Specialty industry. Currently, this industry has 33 stocks and is ranked #79. Since the beginning of the year, the industry has moved -20.7%.

Carpenter Technology and Perimeter Solutions, SA could continue their solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to these stocks.


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