Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Has Silvercorp Metals (SVM) been one of those stocks this year? 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.
Silvercorp Metals is one of 237 individual stocks in the Basic Materials sector. Collectively, these companies sit at #6 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. SVM is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for SVM’s full-year earnings has moved 30% higher. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.
Based on the latest available data, SVM has gained about 19.05% so far this year. At the same time, Basic Materials stocks have gained an average of 0.97%. This means that Silvercorp Metals is outperforming the sector as a whole this year.
Breaking things down more, SVM is a member of the Mining – Miscellaneous industry, which includes 42 individual companies and currently sits at #163 in the Zacks Industry Rank. This group has gained an average of 7.52% so far this year, so SVM is performing better in this area.
Going forward, investors interested in Basic Materials stocks should continue to pay close attention to SVM as it looks to continue its solid performance.
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