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Is Fortescue Metals Group (FSUGY) 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. Fortescue Metals Group (FSUGY - 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 FSUGY and the rest of the Basic Materials group's stocks.

Fortescue Metals Group is a member of the Basic Materials sector. This group includes 237 individual stocks and currently holds a Zacks Sector Rank of #12. 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. FSUGY is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for FSUGY's full-year earnings has moved 139.65% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, FSUGY has gained about 92.61% so far this year. In comparison, Basic Materials companies have returned an average of 14.11%. This shows that Fortescue Metals Group is outperforming its peers so far this year.

Looking more specifically, FSUGY belongs to the Mining - Iron industry, which includes 2 individual stocks and currently sits at #1 in the Zacks Industry Rank. On average, this group has gained an average of 1.66% so far this year, meaning that FSUGY is performing better in terms of year-to-date returns.

Investors with an interest in Basic Materials stocks should continue to track FSUGY. The stock will be looking to continue its solid performance.


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