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Is Veritiv (VRTV) Stock Outpacing Its Basic Materials Peers This Year?

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Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Has Veritiv (VRTV - Free Report) been one of those stocks this year? 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.

Veritiv is one of 251 companies in the Basic Materials group. The Basic Materials group currently sits at #9 within 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 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. Veritiv is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for VRTV's full-year earnings has moved 22.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that VRTV has returned about 451.1% since the start of the calendar year. At the same time, Basic Materials stocks have gained an average of 7.6%. This means that Veritiv is performing better than its sector in terms of year-to-date returns.

One other Basic Materials stock that has outperformed the sector so far this year is United States Steel (X - Free Report) . The stock is up 34.9% year-to-date.

The consensus estimate for United States Steel's current year EPS has increased 16.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Veritiv belongs to the Paper and Related Products industry, a group that includes 11 individual stocks and currently sits at #87 in the Zacks Industry Rank. On average, this group has gained an average of 4.3% so far this year, meaning that VRTV is performing better in terms of year-to-date returns.

On the other hand, United States Steel belongs to the Steel - Producers industry. This 24-stock industry is currently ranked #52. The industry has moved +36.9% year to date.

Investors with an interest in Basic Materials stocks should continue to track Veritiv and United States Steel. These stocks will be looking to continue their solid performance.


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