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Is Osisko Gold Royalties (OR) Stock Outpacing Its Basic Materials Peers This Year?

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The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Osisko Gold Royalties (OR - Free Report) been one of those stocks this year? 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.

Osisko Gold Royalties is a member of the Basic Materials sector. This group includes 235 individual stocks and currently holds a Zacks Sector Rank of #14. 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. Osisko Gold Royalties is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for OR's full-year earnings has moved 0.3% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that OR has returned about 35.5% since the start of the calendar year. In comparison, Basic Materials companies have returned an average of 1.5%. This shows that Osisko Gold Royalties is outperforming its peers so far this year.

Another stock in the Basic Materials sector, Sappi Ltd. (SPPJY - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 16.3%.

For Sappi Ltd. the consensus EPS estimate for the current year has increased 12.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Osisko Gold Royalties belongs to the Mining - Gold industry, which includes 38 individual stocks and currently sits at #44 in the Zacks Industry Rank. On average, stocks in this group have gained 27.5% this year, meaning that OR is performing better in terms of year-to-date returns.

Sappi Ltd. however, belongs to the Paper and Related Products industry. Currently, this 11-stock industry is ranked #46. The industry has moved +24.2% so far this year.

Investors interested in the Basic Materials sector may want to keep a close eye on Osisko Gold Royalties and Sappi Ltd. as they attempt to continue their solid performance.


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