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Is Olin (OLN) Outperforming Other Basic Materials Stocks 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. Olin (OLN - 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? One simple way to answer this question is to take a look at the year-to-date performance of OLN and the rest of the Basic Materials group's stocks.

Olin is a member of our Basic Materials group, which includes 245 different companies and currently sits at #3 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. OLN is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for OLN's full-year earnings has moved 443.49% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, OLN has returned 71.58% so far this year. At the same time, Basic Materials stocks have gained an average of 20.10%. This shows that Olin is outperforming its peers so far this year.

Breaking things down more, OLN is a member of the Chemical - Diversified industry, which includes 42 individual companies and currently sits at #71 in the Zacks Industry Rank. This group has gained an average of 11.91% so far this year, so OLN is performing better in this area.

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


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