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Are Basic Materials Stocks Lagging Avient (AVNT) This Year?

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For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Avient (AVNT - Free Report) 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? 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.

Avient is one of 235 companies in the Basic Materials group. The Basic Materials group currently sits at #15 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 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. Avient is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for AVNT's full-year earnings has moved 1.8% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, AVNT has moved about 17.7% on a year-to-date basis. In comparison, Basic Materials companies have returned an average of 1.3%. This means that Avient is performing better than its sector in terms of year-to-date returns.

One other Basic Materials stock that has outperformed the sector so far this year is Hecla Mining (HL - Free Report) . The stock is up 34.1% year-to-date.

The consensus estimate for Hecla Mining's current year EPS has increased 29.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Avient belongs to the Chemical - Diversified industry, a group that includes 29 individual stocks and currently sits at #190 in the Zacks Industry Rank. On average, stocks in this group have gained 3.1% this year, meaning that AVNT is performing better in terms of year-to-date returns.

On the other hand, Hecla Mining belongs to the Mining - Silver industry. This 9-stock industry is currently ranked #80. The industry has moved +31.5% year to date.

Going forward, investors interested in Basic Materials stocks should continue to pay close attention to Avient and Hecla Mining as they could maintain their solid performance.


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