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Are Basic Materials Stocks Lagging Eldorado Gold (EGO) 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 Eldorado Gold Corporation (EGO - Free Report) been one of those stocks this year? 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.

Eldorado Gold Corporation is a member of the Basic Materials sector. This group includes 237 individual stocks and currently holds a Zacks Sector Rank of #11. 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. Eldorado Gold Corporation is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for EGO's full-year earnings has moved 34.7% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, EGO has returned 28.1% so far this year. At the same time, Basic Materials stocks have lost an average of 4.1%. This shows that Eldorado Gold Corporation is outperforming its peers so far this year.

One other Basic Materials stock that has outperformed the sector so far this year is Ecolab (ECL - Free Report) . The stock is up 15.4% year-to-date.

In Ecolab's case, the consensus EPS estimate for the current year increased 0.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Eldorado Gold Corporation is a member of the Mining - Gold industry, which includes 37 individual companies and currently sits at #52 in the Zacks Industry Rank. Stocks in this group have gained about 19.9% so far this year, so EGO is performing better this group in terms of year-to-date returns.

In contrast, Ecolab falls under the Chemical - Specialty industry. Currently, this industry has 33 stocks and is ranked #74. Since the beginning of the year, the industry has moved -19.1%.

Investors with an interest in Basic Materials stocks should continue to track Eldorado Gold Corporation and Ecolab. These stocks will be looking to continue their solid performance.


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