Investors interested in Basic Materials stocks should always be looking to find the best-performing companies in the group. Is Asahi Kasei Corp. (AHKSY) 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.
Asahi Kasei Corp. is one of 254 companies in the Basic Materials group. The Basic Materials group currently sits at #11 within 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Asahi Kasei Corp. is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for AHKSY's full-year earnings has moved 4.5% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, AHKSY has gained about 9.2% so far this year. In comparison, Basic Materials companies have returned an average of 7.9%. This means that Asahi Kasei Corp. is performing better than its sector in terms of year-to-date returns.
Another Basic Materials stock, which has outperformed the sector so far this year, is Element Solutions (ESI). The stock has returned 36% year-to-date.
For Element Solutions, the consensus EPS estimate for the current year has increased 3.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Asahi Kasei Corp. belongs to the Chemical - Diversified industry, a group that includes 29 individual companies and currently sits at #205 in the Zacks Industry Rank. On average, stocks in this group have gained 31.8% this year, meaning that AHKSY is slightly underperforming its industry in terms of year-to-date returns.
On the other hand, Element Solutions belongs to the Chemical - Specialty industry. This 43-stock industry is currently ranked #175. The industry has moved +8.5% year to date.
Investors with an interest in Basic Materials stocks should continue to track Asahi Kasei Corp. and Element Solutions. These stocks will be looking to continue their solid performance.
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Asahi Kasei Corp. (AHKSY): Free Stock Analysis Report
Element Solutions Inc. (ESI): Free Stock Analysis Report