In this article, we will be looking at the 5 best materials stocks for 2021. To see our detailed analysis of these stocks, you can go directly to see the 11 Best Materials Stocks for 2021.
5. Air Products and Chemicals, Inc. (NYSE: APD)
Number of Hedge Fund Holders: 32
Air Products and Chemicals, Inc. (NYSE: APD) is a company providing atmospheric gases, process and speciality gases, equipment, and services worldwide. The company ranks 5th on our list of the best materials stocks for 2021.
On June 11th, Susquehanna upgraded Air Products and Chemicals, Inc. (NYSE: APD) to Positive with a $350 price target. The company also revealed plans to build a net-zero hydrogen energy complex in Alberta this year. In the fiscal second quarter of 2021, Air Products and Chemicals, Inc. (NYSE: APD) had an EPS of $2.08, missing estimates by -$0.03. The company’s revenue was $2.5 billion, up 12.89% year over year, beating estimates by $149.99 million and it has a gross profit margin of 32.1%. The stock has gained 7.68% in the past 6 months and year to date.
By the end of the first quarter of 2021, 32 hedge funds held stakes in Air Products and Chemicals, Inc. (NYSE: APD) worth roughly $586 million. This is compared to 50 hedge funds in the previous quarter with a total stake value of roughly $1.28 billion.
4. International Paper Company (NYSE: IP)
Number of Hedge Fund Holders: 36
International Paper Company (NYSE: IP) is a paper and packaging company operating n the US and internationally. It has three segments: Industrial Packaging, Global Cellulose Fibers, and Printing Papers. The company ranks 4th on our list of the best materials stocks for 2021.
On June 28th, Stephens upgraded International Paper Company (NYSE: IP) to Overweight, while earlier that month, Argus also upgraded the company to Buy with a $75 price target. In the first quarter of 2021, International Paper Company (NYSE: IP) had an EPS of $0.76, beating estimates by $0.15. The company’s revenue was $5.36 billion, up 0.21% year over year and beating estimates by $52.44 million, and it has a gross profit margin of 29.71%. The stock has gained 26.79% in the past 6 months and year to date.
By the end of the first quarter of 2021, 36 hedge funds held stakes in International Paper Company (NYSE: IP) worth roughly $259 million. This is compared to 31 hedge funds in the previous quarter with a total stake value of roughly $167 million.
3. Celanese Corporation (NYSE: CE)
Number of Hedge Fund Holders: 36
Celanese Corporation (NYSE: CE) is a technology and specialty materials company, manufacturing high-performance engineered polymers in the US and internationally. The company ranks 3rd on our list of the best materials stocks for 2021.
On June 30th, Celanese Corporation (NYSE: CE) acquired Exxon Mobil’s Santoprene business for $1.15 billion, and earlier that month, the company also acquired POM Technology and sales agreements from Grupa Azoty. In the first quarter of 2021, Celanese Corporation (NYSE: CE) had an EPS of $3.46, beating estimates by $0.45. The company’s revenue was $1.8 billion, up 23.15% year over year and beating estimates by $60.7 million, and it has a gross profit margin of 23.86%. The stock has gained 21.61% in the past 6 months and year to date.
By the end of the first quarter of 2021, 36 hedge funds held stakes in Celanese Corporation (NYSE: CE) worth roughly $759 million. This is compared to 33 hedge funds in the previous quarter with a total stake value of roughly $997 million.
2. The Mosaic Company (NYSE: MOS)
Number of Hedge Fund Holders: 38
The Mosaic Company (NYSE: MOS) is a producer and marketer of concentrated phosphate and potash crop nutrients in the US and internationally. The company ranks 2nd on our list of the best materials stocks for 2021.
In a report after the latest consumer inflation data, UBS named The Mosaic Company (NYSE: MOS) among the stocks it recommends to investors on the back of pricing power, margin momentum and input cost exposure.
In the first quarter of 2021, The Mosaic Company (NYSE: MOS) had an EPS of $0.57, beating estimates by $0.04. The company’s revenue was $2.30 billion, up 27.75% year over year and beating estimates by $50.62 million. It has a gross profit margin of 15.42% and the stock has gained 34.31% in the past 6 months and year to date.
By the end of the first quarter of 2021, 38 hedge funds held stakes in The Mosaic Company (NYSE: MOS) worth roughly $944 million. This is compared to 39 hedge funds in the previous quarter with a total stake value of roughly $841 million.
Appleseed Fund, an investment management firm, mentioned The Mosaic Company (NYSE: MOS) in its first-quarter 2021 investor letter. Here’s what they said:
“Our most significant contributors to the Fund’s equity performance during the quarter (includes) Mosaic Company (MOS). As for Mosaic, its share price has risen in sympathy with increasing grain prices, which should stimulate additional farmer investment into improving crop yields.”
1. LyondellBasell Industries N.V. (NYSE: LYB)
Number of Hedge Fund Holders: 47
LyondellBasell Industries N.V. (NYSE: LYB) is a chemical company operating in the US, Germany, Mexico, Italy, Poland, France, Japan, China, the Netherlands, and internationally. The company ranks 1st on our list of the best materials stocks for 2021.
This May, LyondellBasell Industries N.V. (NYSE: LYB) declared a 7.6% increase in its dividend, making it $1.13 per share, with a forward yield of 3.98%. In the first quarter of 2021, LyondellBasell Industries N.V. (NYSE: LYB) had an EPS of $3.20, beating estimates by $0.55. The company’s revenue was $9.08 billion, up 21.19% year over year but missing estimates by $37.2 million. The stock has gained 15.86% in the past 6 months and year to date and LyondellBasell Industries N.V. (NYSE: LYB) has a gross profit margin of 14.22% as well.
By the end of the first quarter of 2021, 47 hedge funds held stakes in LyondellBasell Industries N.V. (NYSE: LYB) worth roughly $891 million. This is compared to 27 hedge funds in the previous quarter with a total stake value of roughly $682 million.
You can also take a peek at the Top Construction Companies in the US in 2021 and 10 Best Steels Stocks to Buy Amid Upcoming Infrastructure, Construction Boom.
