Back to top

Image: Bigstock

Are Basic Materials Stocks Lagging Agnico Eagle Mines (AEM) This Year?

Read MoreHide Full Article

The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Agnico Eagle Mines (AEM - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Agnico Eagle Mines is a member of our Basic Materials group, which includes 238 different companies and currently sits at #8 in the Zacks Sector Rank. 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 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. Agnico Eagle Mines is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for AEM's full-year earnings has moved 26.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, AEM has gained about 36.3% so far this year. At the same time, Basic Materials stocks have lost an average of 1.6%. As we can see, Agnico Eagle Mines is performing better than its sector in the calendar year.

Another Basic Materials stock, which has outperformed the sector so far this year, is Alamos Gold (AGI - Free Report) . The stock has returned 30.4% year-to-date.

Over the past three months, Alamos Gold's consensus EPS estimate for the current year has increased 12.9%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Agnico Eagle Mines belongs to the Mining - Gold industry, which includes 37 individual stocks and currently sits at #27 in the Zacks Industry Rank. On average, stocks in this group have gained 21.1% this year, meaning that AEM is performing better in terms of year-to-date returns. Alamos Gold is also part of the same industry.

Investors interested in the Basic Materials sector may want to keep a close eye on Agnico Eagle Mines and Alamos Gold as they attempt to continue their solid performance.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Agnico Eagle Mines Limited (AEM) - free report >>

Alamos Gold Inc. (AGI) - free report >>

Published in