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Has Agnico Eagle Mines (AEM) Outpaced Other Basic Materials Stocks This Year?

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Investors focused on the Basic Materials space have likely heard of Agnico Eagle Mines (AEM - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? 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.

Agnico Eagle Mines is one of 235 companies in the Basic Materials group. The Basic Materials group currently sits at #10 within 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. AEM is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for AEM's full-year earnings has moved 17.96% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, AEM has returned 9.24% so far this year. At the same time, Basic Materials stocks have gained an average of 7.81%. This means that Agnico Eagle Mines is performing better than its sector in terms of year-to-date returns.

Looking more specifically, AEM belongs to the Mining - Gold industry, a group that includes 33 individual stocks and currently sits at #183 in the Zacks Industry Rank. On average, stocks in this group have gained 21.62% this year, meaning that AEM is slightly underperforming its industry in terms of year-to-date returns.

Investors in the Basic Materials sector will want to keep a close eye on AEM as it attempts to continue its solid performance.


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