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Is Denison Mine (DNN) Stock Outpacing Its Basic Materials Peers 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. Is Denison Mine (DNN - 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.

Denison Mine is a member of our Basic Materials group, which includes 251 different companies and currently sits at #7 in 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. Denison Mine is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for DNN's full-year earnings has moved 200% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that DNN has returned about 119.5% since the start of the calendar year. Meanwhile, stocks in the Basic Materials group have gained about 7.3% on average. This shows that Denison Mine is outperforming its peers so far this year.

Another Basic Materials stock, which has outperformed the sector so far this year, is MP Materials Corp. (MP - Free Report) . The stock has returned 46.9% year-to-date.

The consensus estimate for MP Materials Corp.'s current year EPS has increased 28.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Denison Mine is a member of the Mining - Miscellaneous industry, which includes 51 individual companies and currently sits at #163 in the Zacks Industry Rank. On average, this group has lost an average of 0.9% so far this year, meaning that DNN is performing better in terms of year-to-date returns. MP Materials Corp. is also part of the same industry.

Denison Mine and MP Materials Corp. could continue their solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to these stocks.


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