Why I'd buy these two FTSE 100-beaters right now

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Anglo American, mining equipment and rocks

The FTSE 100 has experienced a relatively positive year, up 11% over the last 12 months and looks set to deliver further growth over the medium term.

However, a number of stocks have significantly outperformed the wider index during the same time period. Those same stocks, though, may not yet be overvalued and could therefore continue to beat the index. Here are two examples which could be worth buying right now.

Improving outlook

The last year has been hugely volatile for the gold price. It has swung violently between positive and negative returns, as investors have sought refuge from the risks posed by Brexit, but then adopted a more 'risk-on' attitude following Donald Trump's election victory.

Looking ahead, the prospects for the gold price are relatively bright. Global inflation is expected to rise over the medium term as government spending - particularly in the US - is forecast to increase significantly. This could increase investor demand for gold and lead to a higher price.

This would be good news for Dalradian Resources(LSE: DALR). Its second quarter results on Thursday showed the gold development and exploration company continues to make progress with its strategy.

For example, it has completed 9,580 metres of underground drilling during the quarter, as well as commencing a 30,000 metre surface drilling programme. Its cash balance of $34.6m remains relatively healthy, while the receipt of $26m so far this year from warrant exercises has helped to strengthen the overall financial position.

While the company remains loss-making and high risk due to the nature of the business, its shares could benefit from a rising gold price. Dalradian Resources has gained 43% in the last year and could continue to outperform the FTSE 100 in the long run.

Improving business

Also beating the FTSE 100 in the last year have been shares in Anglo American(LSE: AAL). Its up 47% during the period and much of this rise has been due to improvements made to its business model. It has been able to streamline operations to create a more efficient business which is now better positioned to cope with instability in commodity prices.

Anglo American has also recently reinstated its dividend. This shows that the company has a positive outlook regarding its future financial performance. Due in part to a number of asset disposals, it now has a stronger balance sheet which reduces the overall risk profile of the business.

Looking ahead, Anglo American is forecast to record a rise in its bottom line of 32% in the current year. This puts it on a price-to-earnings growth (PEG) ratio of just 0.2, which suggests it offers a wide margin of safety at the present time. Although it remains a relatively risky stock due to the uncertain outlook for commodity prices, the company is diversified and its risk/reward ratio suggests further FTSE 100 outperformance could be ahead.

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Peter Stephens has no position in any shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.