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Is Arch Coal (ARCH) Stock Outpacing Its Basic Materials Peers 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 Arch Coal (ARCH - Free Report) one of those stocks right now? 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.

Arch Coal is a member of the Basic Materials sector. This group includes 247 individual stocks and currently holds a Zacks Sector Rank of #14. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. ARCH is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for ARCH's full-year earnings has moved 16.68% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

According to our latest data, ARCH has moved about 0.75% on a year-to-date basis. In comparison, Basic Materials companies have returned an average of -9.59%. As we can see, Arch Coal is performing better than its sector in the calendar year.

Looking more specifically, ARCH belongs to the Mining - Miscellaneous industry, which includes 40 individual stocks and currently sits at #152 in the Zacks Industry Rank. Stocks in this group have lost about 2.56% so far this year, so ARCH is performing better this group in terms of year-to-date returns.

Investors with an interest in Basic Materials stocks should continue to track ARCH. The stock will be looking to continue its solid performance.


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