Sectors & IndustriesBasic Materials

Best Basic Material Stocks to Buy Now (2026)

Top basic material stocks in 2026 ranked by overall Due Diligence Score. See the best basic material stocks to buy now, according to analyst forecasts for the basic materials sector.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best basic material stocks to buy right now are:

Iamgold (NYSE:IAG) is the #1 top basic material stock out of 312 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Iamgold (NYSE:IAG) is: Value: A, Growth: B, Momentum: A, Sentiment: B, Safety: C, Financials: A, and AI: C.

Iamgold (NYSE:IAG) has a Due Diligence Score of 52, which is 22 points higher than the basic material sector average of 30. It passed 17 out of 33 due diligence checks and has strong fundamentals. Iamgold has seen its stock return 259.65% over the past year, overperforming other basic material stocks by 240 percentage points.

Iamgold has an average 1 year price target of $17.25, a downside of -22.89% from Iamgold's current stock price of $22.37.

Iamgold stock has a consensus Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Iamgold, 0% have issued a Strong Buy rating, 50% have issued a Buy, 50% have issued a Hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Perma Pipe International Holdings (NASDAQ:PPIH) is the #2 top basic material stock out of 312 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Perma Pipe International Holdings (NASDAQ:PPIH) is: Value: C, Growth: B, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.

Perma Pipe International Holdings (NASDAQ:PPIH) has a Due Diligence Score of 46, which is 16 points higher than the basic material sector average of 30. It passed 15 out of 33 due diligence checks and has strong fundamentals. Perma Pipe International Holdings has seen its stock return 114.81% over the past year, overperforming other basic material stocks by 95 percentage points.

Centerra Gold (NYSE:CGAU) is the #3 top basic material stock out of 312 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Centerra Gold (NYSE:CGAU) is: Value: B, Growth: B, Momentum: A, Sentiment: B, Safety: C, Financials: B, and AI: C.

Centerra Gold (NYSE:CGAU) has a Due Diligence Score of 38, which is 8 points higher than the basic material sector average of 30. It passed 15 out of 38 due diligence checks and has average fundamentals. Centerra Gold has seen its stock return 194.26% over the past year, overperforming other basic material stocks by 175 percentage points.

Centerra Gold has an average 1 year price target of $16.50, a downside of -13.07% from Centerra Gold's current stock price of $18.98.

Centerra Gold stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Centerra Gold, 0% have issued a Strong Buy rating, 50% have issued a Buy, 50% have issued a Hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 99 basic material stocks that have issued dividends in the past year, the 3 basic material stocks with the highest dividend yields are:

Fmc (NYSE:FMC) has an annual dividend yield of 12.25%, which is 10 percentage points higher than the basic material sector average of 1.9%. Fmc's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Fmc's dividend has not shown consistent growth over the last 10 years.

Fmc's dividend payout ratio of -54.8% indicates that its high dividend yield might not be sustainable for the long-term.

Cvr Partners (NYSE:UAN) has an annual dividend yield of 11.09%, which is 9 percentage points higher than the basic material sector average of 1.9%. Cvr Partners's dividend payout is not stable, having dropped more than 10% nine times in the last 10 years. Cvr Partners's dividend has shown consistent growth over the last 10 years.

Cvr Partners's dividend payout ratio of 127.8% indicates that its high dividend yield might not be sustainable for the long-term.

Lyondellbasell Industries Nv (NYSE:LYB) has an annual dividend yield of 9.85%, which is 8 percentage points higher than the basic material sector average of 1.9%. Lyondellbasell Industries Nv's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Lyondellbasell Industries Nv's dividend has shown consistent growth over the last 10 years.

Lyondellbasell Industries Nv's dividend payout ratio of -144.5% indicates that its high dividend yield might not be sustainable for the long-term.

Basic material stocks were down -0.18% in the last day, and up 0.02% over the last week. Tronox Holdings was the among the top losers in the basic materials sector, dropping -10.32% yesterday.

Tronox Holdings shares are trading lower after the company reported worse-than-expected Q4 adjusted EPS results.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued basic material stocks right now are:

Fortuna Mining (NYSE:FSM) is the most undervalued basic material stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Fortuna Mining has a valuation score of 71, which is 49 points higher than the basic material sector average of 22. It passed 5 out of 7 valuation due diligence checks.

Fortuna Mining's stock has gained 136.44% in the past year. It has overperformed other stocks in the basic material sector by 117 percentage points.

Cabot (NYSE:CBT) is the second most undervalued basic material stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Cabot has a valuation score of 29, which is 7 points higher than the basic material sector average of 22. It passed 2 out of 7 valuation due diligence checks.

Cabot's stock has dropped -15.2% in the past year. It has underperformed other stocks in the basic material sector by -35 percentage points.

B2gold (NYSEMKT:BTG) is the third most undervalued basic material stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

B2gold has a valuation score of 71, which is 49 points higher than the basic material sector average of 22. It passed 5 out of 7 valuation due diligence checks.

B2gold's stock has gained 92.48% in the past year. It has overperformed other stocks in the basic material sector by 73 percentage points.

44.19% of basic material stocks rated by analysts are a buy right now. On average, analysts expect basic material stocks to rise by 4.27% over the next year.

8.12% of basic material stocks have a Zen Rating of A (Strong Buy), 19.19% of basic material stocks are rated B (Buy), 46.13% are rated C (Hold), 15.87% are rated D (Sell), and 10.7% are rated F (Strong Sell).