Sectors & IndustriesBasic Materials
Best Basic Material Stocks to Buy Now (2024)
Top basic material stocks in 2024 ranked by overall Zen Score. See the best basic material stocks to buy now, according to analyst forecasts for the basic materials sector.

Sector: Basic Materials

Price Valuation Financials Forecast Earnings & Revenue Dividends Ownership Technicals

Ticker	Company	Zen Score	Valuation Score	Financials Score	Forecast Score	Performance Score	Dividends Score
ODC	OIL-DRI CORP OF AMERICA	63	71	71	0	90	80
ALB	ALBEMARLE CORP	62	71	57	33	70	80
VALE	VALE SA	60	71	43	56	50	80
HDSN	HUDSON TECHNOLOGIES INC	59	100	86	0	50	–
UUUU	ENERGY FUELS INC	58	71	100	0	60	–
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Basic Material Industries

Industry	Stocks	1d %	1w %	1m %	1y %	P/E ratio	P/B Ratio	ROE	ROA	ROCE	Upside/Downside	Consensus
Agricultural Inputs	18	-1.50%	+0.97%	-4.19%	-21.46%	26.19x	1.36x	+9.85%	+3.88%	+6.54%	+16.03%	Buy
Aluminum	4	-5.14%	-1.15%	+1.35%	+31.46%	-4.05x	1.97x	-4.60%	-1.82%	+1.14%	-7.73%	Buy
Building Materials	15	-2.05%	-0.98%	-4.23%	+59.44%	33.35x	3.04x	+18.85%	+9.13%	+15.00%	+9.68%	Buy
Building Products & Equipment	33	-1.31%	+0.42%	-3.32%	+58.09%	28.35x	5.20x	-1.71%	+10.19%	+18.34%	+6.37%	Buy
Chemicals	16	-2.74%	-1.66%	-6.23%	+12.82%	22.79x	1.95x	+6.74%	+2.48%	+4.63%	+17.50%	Buy
Coking Coal	6	-4.03%	+1.91%	+1.27%	+87.29%	7.92x	2.12x	+29.77%	+20.47%	+27.42%	+12.84%	Buy
Copper	7	-3.89%	+5.51%	+7.65%	+35.10%	37.91x	6.03x	+20.44%	+8.61%	+18.53%	-8.10%	Buy
Gold	45	-3.85%	+0.25%	+1.84%	-10.01%	17.60x	1.72x	-0.70%	-0.42%	+2.29%	+19.28%	Buy
Lumber & Wood Production	6	-1.36%	-2.49%	-12.97%	+21.38%	-9.16x	1.69x	+13.36%	+8.75%	+13.17%	+16.45%	Buy
Other Industrial Metals & Mining	40	-3.44%	-0.83%	-3.63%	-25.54%	14.27x	2.12x	+9.96%	+6.89%	+13.80%	+59.00%	Buy
Other Precious Metals & Mining	17	-3.91%	+0.89%	+3.42%	-14.24%	18.06x	1.62x	+0.84%	+3.68%	+5.24%	+51.70%	Buy
Paper & Paper Products	6	+3.07%	+3.69%	+0.24%	+25.89%	5.75x	1.66x	+29.84%	+9.05%	+16.52%	-13.32%	Hold
Silver	3	-4.16%	-1.73%	+7.96%	-6.20%	4.48x	1.57x	-0.80%	+0.50%	+0.01%	+40.27%	Strong Buy
Specialty Chemicals	58	-1.32%	-1.85%	-6.91%	+8.49%	30.22x	3.35x	+18.60%	+6.28%	+11.84%	+15.49%	Buy
Steel	23	-3.16%	-4.94%	-12.08%	+14.18%	13.06x	0.93x	+14.59%	+8.91%	+14.38%	+20.34%	Buy
Thermal Coal	6	-3.54%	-0.50%	-1.51%	+24.96%	4.24x	1.22x	+34.35%	+19.58%	+27.04%	+20.35%	Strong Buy
Uranium	10	-4.78%	-1.80%	-3.80%	+60.74%	-2.66x	4.25x	-4.33%	+4.90%	+6.81%	+43.61%	Strong Buy

Basic Material Stocks FAQ

What are the best basic material stocks to buy right now in May 2024?

According to Zen Score, the 3 best basic material stocks to buy right now are:

1. Oil Dri Of America (NYSE:ODC)

Oil Dri Of America (NYSE:ODC) is the top basic material stock with a Zen Score of 63, which is 32 points higher than the basic material sector average of 31. It passed 23 out of 38 due diligence checks and has strong fundamentals. Oil Dri Of America has seen its stock return 63.83% over the past year, overperforming other basic material stocks by 43 percentage points.

2. Albemarle (NYSE:ALB)

Albemarle (NYSE:ALB) is the second best basic material stock with a Zen Score of 62, which is 31 points higher than the basic material sector average of 31. It passed 23 out of 38 due diligence checks and has strong fundamentals. Albemarle has seen its stock lose -32.13% over the past year, underperforming other basic material stocks by -53 percentage points.

Albemarle has an average 1 year price target of $141.71, an upside of 17.78% from Albemarle's current stock price of $120.31.

Albemarle stock has a consensus Buy recommendation according to Wall Street analysts. Of the 17 analysts covering Albemarle, 29.41% have issued a Strong Buy rating, 17.65% have issued a Buy, 41.18% have issued a Hold, while 0% have issued a Sell rating, and 11.76% have issued a Strong Sell.

3. Vale Sa (NYSE:VALE)

Vale Sa (NYSE:VALE) is the third best basic material stock with a Zen Score of 60, which is 29 points higher than the basic material sector average of 31. It passed 22 out of 38 due diligence checks and has strong fundamentals. Vale Sa has seen its stock lose -14.3% over the past year, underperforming other basic material stocks by -35 percentage points.

Vale Sa has an average 1 year price target of $16.75, an upside of 37.63% from Vale Sa's current stock price of $12.17.

Vale Sa stock has a consensus Buy recommendation according to Wall Street analysts. Of the 8 analysts covering Vale Sa, 37.5% have issued a Strong Buy rating, 25% have issued a Buy, 37.5% have issued a Hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the basic material stocks with highest dividends?

Out of 132 basic material stocks that have issued dividends in the past year, the 3 basic material stocks with the highest dividend yields are:

1. Futurefuel (NYSE:FF)

Futurefuel (NYSE:FF) has an annual dividend yield of 50.55%, which is 48 percentage points higher than the basic material sector average of 2.96%. Futurefuel's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Futurefuel's dividend has shown consistent growth over the last 10 years.

Futurefuel's dividend payout ratio of 28.2% indicates that its high dividend yield is sustainable for the long-term.

2. Cvr Partners (NYSE:UAN)

Cvr Partners (NYSE:UAN) has an annual dividend yield of 22.08%, which is 19 percentage points higher than the basic material sector average of 2.96%. Cvr Partners's dividend payout is not stable, having dropped more than 10% twelve times in the last 10 years. Cvr Partners's dividend has not shown consistent growth over the last 10 years.

Cvr Partners's dividend payout ratio of 226.5% indicates that its high dividend yield might not be sustainable for the long-term.

3. National Steel Co (NYSE:SID)

National Steel Co (NYSE:SID) has an annual dividend yield of 14.74%, which is 12 percentage points higher than the basic material sector average of 2.96%. National Steel Co's dividend payout is not stable, having dropped more than 10% six times in the last 10 years. National Steel Co's dividend has shown consistent growth over the last 10 years.

National Steel Co's dividend payout ratio of 136.5% indicates that its high dividend yield might not be sustainable for the long-term.

Why are basic material stocks down?

Basic material stocks were down -2.04% in the last day, and down -0.94% over the last week. Nexgen Energy was the among the top losers in the basic materials sector, dropping -9.82% yesterday.

NexGen Energy shares are trading lower after the company announced an upsized offering in Australia.

What are the most undervalued basic material stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued basic material stocks right now are:

1. Hudson Technologies (NASDAQ:HDSN)

Hudson Technologies (NASDAQ:HDSN) is the most undervalued basic material stock based on WallStreetZen's Valuation Score. Hudson Technologies has a valuation score of 100, which is 72 points higher than the basic material sector average of 28. It passed 7 out of 7 valuation due diligence checks.

Hudson Technologies's stock has gained 25.73% in the past year. It has overperformed other stocks in the basic material sector by 5 percentage points.

2. Methanex (NASDAQ:MEOH)

Methanex (NASDAQ:MEOH) is the second most undervalued basic material stock based on WallStreetZen's Valuation Score. Methanex has a valuation score of 86, which is 58 points higher than the basic material sector average of 28. It passed 6 out of 7 valuation due diligence checks.

Methanex's stock has gained 5.55% in the past year. It has underperformed other stocks in the basic material sector by -15 percentage points.

3. Algoma Steel Group (NASDAQ:ASTL)

Algoma Steel Group (NASDAQ:ASTL) is the third most undervalued basic material stock based on WallStreetZen's Valuation Score. Algoma Steel Group has a valuation score of 86, which is 58 points higher than the basic material sector average of 28. It passed 6 out of 7 valuation due diligence checks.

Algoma Steel Group's stock has gained 6.69% in the past year. It has underperformed other stocks in the basic material sector by -14 percentage points.

Are basic material stocks a good buy now?

53.4% of basic material stocks rated by analysts are a buy right now. On average, analysts expect basic material stocks to rise by 13.85% over the next year.

What is the average p/e ratio of the basic materials sector?

The average P/E ratio of the basic materials sector is 24.23x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.