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The basic materials sector closely follows economic trends. Because fundamental macro factors play such an important role in driving the group, care must be taken to identify the best investment opportunities among the many chemical, steel, mining and other stocks that make up the sector.
TipRanks has identified the top 10 analysts in the basic materials sector who have produced remarkable returns and whose recommendations have outperformed their peers.
TipRanks used the Expert Center tool to identify analysts with the highest success rates. In the process, he analyzed every analyst recommendation in the basic materials sector over the past 10 years. TipRanks algorithms then calculated the statistical significance of each rating, the analysts’ overall success rate, and the average return.
Top 10 analysts from the basic materials sector
The image below shows the most successful Wall Street analysts from the basic materials sector.
1. Dan Payne — National Bank
The list is headed by Dan Payne. Payne’s overall success rate is 64%. Its top rating was Birchcliff Energy (TSE: ONE), an intermediate oil and natural gas company. His call to buy BIR stock from October 6, 2020 to October 6, 2021 yielded a 373% return.
2. Leo Mariani — Roth MKM
Leo Mariani is second on the list with a success rate of 62%. It was Mariani’s best recommendation Permian Resources (NYSE: PR), an oil and gas company. The analyst made a whopping 800% profit from October 20, 2020 to October 20, 2021 with a buy recommendation on PR stock.
3. John Freeman — Raymond James
Raymond James analyst John Freeman is No. 3 on the list. Freeman’s success rate is 56%. It was on his best recommendation Vital Energy (NYSE: VTLE), an oil and gas prospector in the Perm Basin. The analyst made a 738% return from October 23, 2020 to October 23, 2021 through a buy recommendation on the stock.
4. Poe Fratt — Alliance Global Partners
Fourth on the list is Poe Fratt. The analyst has an overall success rate of 54%. It was on Fratt’s best recommendation Gevo (NASDAQ: GEVO), a company focused on renewable chemicals and advanced biofuels. 800% profit from August 11, 2020 to August 11, 2021 by analyst based on Buy recommendation.
5. Elvira Scotto — RBC Capital
Analyst Elvira Scotto, ranked fifth, has a 64% success rate. It was Scotto’s best recommendation Crestwood Equity Partners (NYSE: CEQP), owner of midstream assets that collect, process, store and transport natural gas, natural gas liquids and crude oil. Based on this option, the analyst made a profit of 437% from March 16, 2020 to March 16, 2021.
6. Vincent Lovaglio — Mizuho Securities
Sixth place goes to Vincent Lovaglio. The analyst has a 66% success rate. It was for Lovaglio’s best recommendation Comstock Resources (NYSE: CRK), natural gas producer. With a buy call on CRK stock, the analyst posted a 270% return from April 20, 2021 to April 20, 2022.
7. Scott Hanold — RBC Capital
RBC Capital analyst Scott Hanold ranks seventh on this list with a 58% success rate. The analyst’s best call was to buy the stock Matador Resources (NYSE: MTDR), is an oil and gas explorer and producer. The recommendation brought a return of 389% from October 1, 2020 to October 1, 2021.
8. Michael Harvey — RBC Capital
In eighth place is Michael Harvey of RBC Capital. Harvey has an overall success rate of 55%. The analyst’s top recommendation was for Seven Generations Energy, an oil and gas company based in Canada. With this buy call, the analyst made a return of 412.1% from March 16, 2020 to March 16, 2021. Merged with Seven Generations Energy. ARC Resources (TSE: ARX) in 2021.
9. Dalton Baretto — Canaccord Genuity
Dalton Baretto is ninth on the list. The analyst has a 52% success rate. His main call was made Capstone Copper (TSE: CS), a copper manufacturer based in Canada. The buy recommendation brought 800% profit from May 27, 2020 to May 27, 2021.
10. TJ Schultz — RBC Capital
TJ Schultz is 10th on the list with a 63% success rate. The analyst’s best call was to buy the stock Targa Resources (NYSE: TRGP), a provider of mid-level services. Recommendation brought 243% return from March 16, 2020 to March 16, 2021.
Retail investors can use TipRanks’ Expert Center tool to track recommendations from top analysts and make informed investment decisions.