Top Materials Stocks for November 2021

3 years ago 403

SLVM, FCX, and AA are apical for value, growth, and momentum, respectively

The materials assemblage includes companies engaged successful the discovery, development, and processing of raw materials, which are utilized crossed a wide scope of sectors and industries. Materials stocks see manufacturers of products arsenic varied arsenic plastic, fertilizer, paper, concrete, and metals. Prominent names see Ecolab Inc. (ECL), Air Products and Chemicals Inc. (APD), and DuPont de Nemours Inc. (DD).

Materials stocks, represented by the Materials Select Sector SPDR ETF (XLB), person underperformed the broader market. The XLB's full instrumentality was 31.4% implicit the past 12 months, beneath the Russell 1000's full instrumentality of 34.3%. These marketplace show numbers and each statistic successful the tables beneath are arsenic of Oct. 22, 2021.

Here are the apical 3 materials stocks with the champion value, the fastest growth, and the astir momentum.

Best Value Materials Stocks

These are the materials stocks with the lowest 12-month trailing price-to-earnings (P/E) ratio. Because profits tin beryllium returned to shareholders successful the signifier of dividends and buybacks, a debased P/E ratio shows you’re paying little for each dollar of nett generated.

Best Value Materials Stocks

	Price ($)	Market Cap ($B)	12-Month Trailing P/E Ratio
Sylvamo Corp. (SLVM)	27.31	1.2	4.1
DuPont de Nemours Inc. (DD)	72.24	37.8	7.2
United States Steel Corp. (X)	22.21	6.0	7.3

^{Source: YCharts}

Sylvamo Corp.: Sylvamo is simply a planetary uncoated papers shaper with a immense portfolio of top-tier brands and large-scale insubstantial mills located and serving North America, Latin America, and Europe. It produces uncoated freesheet, marketplace pulp, aseptic and liquid packaging board, and coated unbleached kraft papers.
DuPont de Nemours Inc.: DuPont de Nemours produces operation materials, fabrics, electronics, aesculapian devices, resins, and adhesives for the energy, automotive, and different industries. On Oct. 14, DuPont announced the declaration of a fourth-quarter dividend of $0.30 per stock connected its outstanding communal banal payable connected Dec. 15, 2021.
United States Steel Corp.: Headquartered successful Pittsburg, Pennsylvania, United States Steel Corp is simply a starring alloy shaper with operations successful the U.S. and cardinal Europe. With an yearly earthy steelmaking capableness of 26.2 cardinal nett tons, the institution serves the construction, automotive, energy, appliance, containers, and packaging industries with precocious value-added steel. In precocious October, the institution was ranked 43rd connected Newsweek's Most Loved Workplaces database of apical 100 companies successful 2021.

Fastest-Growing Materials Stocks

These are the apical materials stocks arsenic ranked by a growth model that scores companies based connected a 50/50 weighting of their astir caller quarterly year-over-year (YOY) percentage revenue growth, and their astir caller quarterly YOY earnings-per-share (EPS) growth. Both income and net are captious factors successful the occurrence of a company. Therefore ranking companies by lone 1 maturation metric makes a ranking susceptible to the accounting anomalies of that 4th (such arsenic changes successful taxation instrumentality oregon restructuring costs) that whitethorn marque 1 oregon the different fig unrepresentative of the concern successful general. Companies with quarterly EPS oregon gross maturation of implicit 2,500% were excluded arsenic outliers.

Fastest-Growing Materials Stocks

	Price ($)	Market Cap ($B)	EPS Growth (%)	Revenue Growth (%)
Freeport-McMoRan Inc. (FCX)	38.42	56.4	2,330	88.2
Nucor Corp. (NUE)	102.07	30.0	1,300	103.1
Steel Dynamics Inc. (STLD)	63.07	12.9	822.2	113.2

^{Source: YCharts}

Freeport-McMoRan Inc.: Freeport-McMoRan is simply a starring planetary mining institution with important reserves of copper, gold, and molybdenum. The institution has operations successful North and South America arsenic good arsenic successful Indonesia. On Oct. 21, the institution reported third-quarter 2021 consolidated income volumes totaling 1.033 cardinal pounds of copper, 402 1000 ounces of gold, and 20 cardinal pounds of molybdenum. Its gross for the 4th was $6.1 cardinal versus $3.9 cardinal successful Q3 2020, and its earnings-per-share (EPS) was $0.94, up substantially from the $0.22 it earned this 4th past year. Freeport-McMoRan reiterated plans to reinvest successful the concern and supply expanding currency returns to shareholders.
Nucor Corp.: Nucor is simply a shaper of c and alloy steel, alloy deck, alloy bearing products, and acold finished steel. The institution besides acts arsenic a broker of assorted types of metals. On Sept. 20, 2021, Nucor announced its plans to physique a $2.7 cardinal state-of-the-art expanse mill with a capableness of 3 cardinal tons per year. Nucor is considering locations successful Ohio, Pennsylvania, and West Virginia for the mill, which volition service customers successful the Midwest and Northeast. For its Q3 2021 ended September 30, the institution reported a 17% summation successful gross to $10.31 cardinal and a grounds $7.28 successful EPS. The institution attributed the accrued income and profits to higher realized selling prices.

Steel Dynamics Inc.: Steel Dynamics is simply a carbon-steel shaper and metals recycler. The institution offers products including flat-rolled alloy sheet, structural beams, and engineered barroom special-bar-quality. For the company's Q3 2021 ended September 30, Steel Dynamics reported gross of $5.1 billion, up from $2.3 cardinal this clip past year. Its EPS was $4.85, versus $0.47 for Q3 2020.

Materials Stocks With the Most Momentum

These are the materials stocks that had the highest full instrumentality implicit the past 12 months.

Materials Stocks With the Most Momentum

	Price ($)	Market Cap ($B)	12-Month Trailing Total Return (%)
Alcoa Corp. (AA)	49.99	9.4	275.3
Olin Corp. (OLN)	51.57	8.3	218.6
Cleveland-Cliffs Inc. (CLF)	21.16	10.6	164.8
Russell 1000	N/A	N/A	34.3
Materials Select Sector SPDR ETF (XLB)	N/A	N/A	31.4

^{Source: YCharts}

Alcoa Corp.: Alcoa is simply a starring shaper of aluminum, bauxite, and alumina products. The institution serves customers successful the aluminum manufacture astir the world. On Sept. 20, Alcoa announced plans to restart its smelter successful São Luís, Brazil, which had been turned disconnected since 2015. The smelter volition beryllium powered with 100% renewable vigor and volition person an aluminum accumulation capableness of 268,000 metric tons per year.
Olin Corp.: Olin manufactures and distributes chemic products, specified arsenic chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, and hydrochloric acid. It besides makes sporting ammunition and small-caliber subject ammunition. For Q3 2021, Olin reported EPS of $2.38 per stock aft losses of $4.67 a stock successful Q3 2020. Sales were $2.3 billion, up from $1.4 cardinal for this 4th past year.
Cleveland-Cliffs Inc.: Cleveland-Cliffs is simply a large North American flat-rolled alloy shaper and supplier of robust ore pellets. For Q3 2021, it reported grounds quarterly gross and nett income of $6 cardinal and $1.3 billion, respectively. In October, Cleveland-Cliffs agreed to get Ferrous Processing and Trading Company, the starring premier scrap processor successful the U.S.

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