Are Basic Materials Stocks Lagging Carpenter Technology (CRS) This Year?
The Basic Materials group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Carpenter Technology (CRS) been one of those stocks this year? 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.
Carpenter Technology is a member of our Basic Materials group, which includes 230 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Carpenter Technology is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for CRS' full-year earnings has moved 13.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, CRS has returned 91.7% so far this year. Meanwhile, stocks in the Basic Materials group have gained about 13.4% on average. This means that Carpenter Technology is performing better than its sector in terms of year-to-date returns.
Another stock in the Basic Materials sector, United States Steel (X), has outperformed the sector so far this year. The stock's year-to-date return is 94.2%.
Over the past three months, United States Steel's consensus EPS estimate for the current year has increased 1.6%. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Carpenter Technology belongs to the Steel - Speciality industry, a group that includes 4 individual companies and currently sits at #23 in the Zacks Industry Rank. On average, stocks in this group have gained 47% this year, meaning that CRS is performing better in terms of year-to-date returns.
On the other hand, United States Steel belongs to the Steel - Producers industry. This 18-stock industry is currently ranked #52. The industry has moved +37.5% year to date.
Carpenter Technology and United States Steel could continue their solid performance, so investors interested in Basic Materials stocks should continue to pay close attention to these stocks.
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