Investors focused on the Basic Materials space have likely heard of Newmont Goldcorp (NEM), but is the stock performing well in comparison to the rest of its sector peers? 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.
Newmont Goldcorp is one of 242 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. NEM is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for NEM's full-year earnings has moved 17.46% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, NEM has returned 9.32% so far this year. Meanwhile, the Basic Materials sector has returned an average of -33.51% on a year-to-date basis. This shows that Newmont Goldcorp is outperforming its peers so far this year.
Looking more specifically, NEM belongs to the Mining - Miscellaneous industry, a group that includes 43 individual stocks and currently sits at #67 in the Zacks Industry Rank. On average, this group has lost an average of 26.79% so far this year, meaning that NEM is performing better in terms of year-to-date returns.
NEM will likely be looking to continue its solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to the company.