Is Ameren (AEE) Outperforming Other Utilities Stocks This Year?
For those looking to find strong Utilities stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Ameren (AEE) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Utilities peers, we might be able to answer that question.
Ameren is a member of the Utilities sector. This group includes 108 individual stocks and currently holds a Zacks Sector Rank of #8. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Ameren is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for AEE's full-year earnings has moved 0.9% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, AEE has moved about 3.8% on a year-to-date basis. At the same time, Utilities stocks have lost an average of 0.7%. As we can see, Ameren is performing better than its sector in the calendar year.
BCE (BCE) is another Utilities stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 2.7%.
Over the past three months, BCE's consensus EPS estimate for the current year has increased 0.2%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Ameren belongs to the Utility - Electric Power industry, which includes 61 individual stocks and currently sits at #149 in the Zacks Industry Rank. Stocks in this group have lost about 1.8% so far this year, so AEE is performing better this group in terms of year-to-date returns.
In contrast, BCE falls under the Diversified Communication Services industry. Currently, this industry has 14 stocks and is ranked #171. Since the beginning of the year, the industry has moved +6.4%.
Investors interested in the Utilities sector may want to keep a close eye on Ameren and BCE as they attempt to continue their solid performance.
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