For those looking to find strong Basic Materials stocks, it is prudent to search for companies in the group that are outperforming their peers. Is First Majestic Silver (AG) one of those stocks right now? 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.
First Majestic Silver is a member of our Basic Materials group, which includes 232 different companies and currently sits at #15 in the Zacks Sector Rank. 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 is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. First Majestic Silver is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for AG's full-year earnings has moved 21.2% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, AG has moved about 11.7% on a year-to-date basis. Meanwhile, the Basic Materials sector has returned an average of 4.9% on a year-to-date basis. As we can see, First Majestic Silver is performing better than its sector in the calendar year.
Flexible Solutions International Inc. (FSI) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 43.8%.
In Flexible Solutions International Inc.'s case, the consensus EPS estimate for the current year increased 12.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, First Majestic Silver is a member of the Mining - Silver industry, which includes 9 individual companies and currently sits at #43 in the Zacks Industry Rank. On average, stocks in this group have gained 17.6% this year, meaning that AG is slightly underperforming its industry in terms of year-to-date returns.
On the other hand, Flexible Solutions International Inc. belongs to the Chemical - Specialty industry. This 32-stock industry is currently ranked #181. The industry has moved +4.1% year to date.
Going forward, investors interested in Basic Materials stocks should continue to pay close attention to First Majestic Silver and Flexible Solutions International Inc. as they could maintain their solid performance.
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First Majestic Silver Corp. (AG) : Free Stock Analysis Report
Flexible Solutions International Inc. (FSI) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
