Are Basic Materials Stocks Lagging Axalta Coating Systems (AXTA) This Year?
Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Axalta Coating Systems (AXTA) 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? 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.
Axalta Coating Systems is one of 230 individual stocks in the Basic Materials sector. Collectively, these companies sit at #15 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 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. Axalta Coating Systems is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for AXTA's full-year earnings has moved 8.4% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, AXTA has returned 30.2% so far this year. Meanwhile, the Basic Materials sector has returned an average of 6.5% on a year-to-date basis. This shows that Axalta Coating Systems is outperforming its peers so far this year.
Galiano Gold (GAU) is another Basic Materials stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 21.8%.
The consensus estimate for Galiano Gold's current year EPS has increased 12.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Axalta Coating Systems belongs to the Chemical - Specialty industry, a group that includes 34 individual companies and currently sits at #181 in the Zacks Industry Rank. This group has gained an average of 16.8% so far this year, so AXTA is performing better in this area.
On the other hand, Galiano Gold belongs to the Mining - Gold industry. This 39-stock industry is currently ranked #78. The industry has moved +4% year to date.
Going forward, investors interested in Basic Materials stocks should continue to pay close attention to Axalta Coating Systems and Galiano Gold as they could maintain their solid performance.
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Axalta Coating Systems Ltd. (AXTA) : Free Stock Analysis Report
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