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Has Agnico Eagle Mines (AEM) Outpaced 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 Agnico Eagle Mines (AEM - 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.

Agnico Eagle Mines is one of 236 companies in the Basic Materials group. The Basic Materials group currently sits at #11 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Agnico Eagle Mines is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for AEM's full-year earnings has moved 4.1% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that AEM has returned about 11.8% since the start of the calendar year. Meanwhile, stocks in the Basic Materials group have gained about 3.3% on average. This means that Agnico Eagle Mines is outperforming the sector as a whole this year.

Ternium S.A. (TX - Free Report) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 35.8%.

Over the past three months, Ternium S.A.'s consensus EPS estimate for the current year has increased 97.2%. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Agnico Eagle Mines belongs to the Mining - Gold industry, which includes 37 individual stocks and currently sits at #40 in the Zacks Industry Rank. This group has gained an average of 24.4% so far this year, so AEM is slightly underperforming its industry in this area.

On the other hand, Ternium S.A. belongs to the Steel - Producers industry. This 24-stock industry is currently ranked #37. The industry has moved +14.5% year to date.

Investors with an interest in Basic Materials stocks should continue to track Agnico Eagle Mines and Ternium S.A. These stocks will be looking to continue their solid performance.


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