Yahoo Finance Are Basic Materials Stocks Lagging Novozymes (NVZMY) This Year?
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 Novozymes A/S (NVZMY) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
Novozymes A/S is one of 237 companies in the Basic Materials group. The Basic Materials group currently sits at #15 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 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. Novozymes A/S is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for NVZMY's full-year earnings has moved 3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, NVZMY has moved about 8.3% on a year-to-date basis. In comparison, Basic Materials companies have returned an average of -1.6%. This shows that Novozymes A/S is outperforming its peers so far this year.
One other Basic Materials stock that has outperformed the sector so far this year is Paladin Energy (PALAF). The stock is up 23.1% year-to-date.
In Paladin Energy's case, the consensus EPS estimate for the current year increased 200% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Novozymes A/S belongs to the Chemical - Specialty industry, a group that includes 33 individual companies and currently sits at #81 in the Zacks Industry Rank. Stocks in this group have gained about 9.3% so far this year, so NVZMY is slightly underperforming its industry this group in terms of year-to-date returns.
On the other hand, Paladin Energy belongs to the Mining - Miscellaneous industry. This 56-stock industry is currently ranked #170. The industry has moved -11.8% year to date.
Investors with an interest in Basic Materials stocks should continue to track Novozymes A/S and Paladin Energy. These stocks will be looking to continue their solid performance.
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Novozymes A/S (NVZMY) : Free Stock Analysis Report
Paladin Energy Ltd. (PALAF) : Free Stock Analysis Report
