In the last of our three-part series on Australian mining stocks, we are focusing on Aluminum stocks. By applying VectorVest, in just a few seconds I can see that the Materials (Aluminum) industry is one of our best performing industries as of 31 October 2017. This is confirmed by clicking on the Viewers tab on the main toolbar and then selecting Industry Viewer on the left-hand side of the page. The Materials (Aluminum) industry has one of the highest Relative Timing (RT) scores (in the top 10). This means that this industry is one of the fastest moving industries presently.
By double clicking on Materials (Aluminum), I can open all the stocks in this industry group (5 in total). The top listed stock is South32 (S32.AX). What a great looking stock it has been over the last few months; it is undervalued and has an excellent VST score. Graph S32.AX by right clicking on the stock row and selecting View Stock Graph. I confirm that the Earnings (EPS) is steadily increasing along with good momentum in the RT indicator. How easy was that to find? Took me about 10 seconds! This stock has gone up over 21% in six months.
If you like the look of S32.AX, the next stock down in the list is Alumina Ltd (AWC.AX). What a run it has had too in the last 6 months. It is up over 27%. By graphing AWC.AX, I can see it has great, smooth rising EPS and a solid RT. Notice how RT broke above 1.00 (on a scale of 0 to 2.00) back on 11 May 2017 when the Price was at $1.77 per share, with the Price now over $2.30 per share and RT still above 1.00. I do, however, note that AWC.AX is currently overvalued with the Price currently just under $2.40 per share and the Value at $1.55 per share. So, there is a premium being paid and something to be aware of, but with solid earnings and technicals, this stock is looking to run further for now. In addition, there is a dividend yield well over 3% on the offer which explains, in part, the reason for the premium being paid.
Over the last 3 weeks, I have shown how quickly you can find top performing mining stocks in top performing mining industries. The analysis need not be restricted to mining industries. Let VectorVest direct you to the best performing industries by bringing the fastest moving industries to the top of the Industry Viewer each day. With just a few clicks of the mouse, you too can establish the best performing industries housing the best performing stocks. You have that power at your fingertips!