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Is Alpha Metallurgical Resources (AMR) 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. Has Alpha Metallurgical (AMR - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Alpha Metallurgical is one of 236 individual stocks in the Basic Materials sector. Collectively, these companies sit at #14 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. Alpha Metallurgical is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for AMR's full-year earnings has moved 15.1% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that AMR has returned about 7.9% since the start of the calendar year. Meanwhile, stocks in the Basic Materials group have gained about 0.9% on average. This means that Alpha Metallurgical is performing better than its sector in terms of year-to-date returns.

AngloGold (AU - 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 37.2%.

In AngloGold's case, the consensus EPS estimate for the current year increased 26.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Alpha Metallurgical belongs to the Mining - Miscellaneous industry, a group that includes 50 individual stocks and currently sits at #121 in the Zacks Industry Rank. On average, this group has lost an average of 4.8% so far this year, meaning that AMR is performing better in terms of year-to-date returns.

AngloGold, however, belongs to the Mining - Gold industry. Currently, this 37-stock industry is ranked #62. The industry has moved +21.4% so far this year.

Going forward, investors interested in Basic Materials stocks should continue to pay close attention to Alpha Metallurgical and AngloGold as they could maintain their solid performance.

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Alpha Metallurgical Resources, Inc. (AMR) - free report >>

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