Is Arch Resources (ARCH) Outperforming Other Oils-Energy Stocks This Year?
Investors interested in Oils-Energy stocks should always be looking to find the best-performing companies in the group. Arch Resources (ARCH) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Oils-Energy sector should help us answer this question.
Arch Resources is one of 254 companies in the Oils-Energy group. The Oils-Energy group currently sits at #1 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Arch Resources is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for ARCH's full-year earnings has moved 4.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, ARCH has moved about 60.4% on a year-to-date basis. Meanwhile, stocks in the Oils-Energy group have gained about 19.4% on average. As we can see, Arch Resources is performing better than its sector in the calendar year.
Another stock in the Oils-Energy sector, Gulfport Energy (GPOR), has outperformed the sector so far this year. The stock's year-to-date return is 21.2%.
The consensus estimate for Gulfport Energy's current year EPS has increased 16.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Arch Resources is a member of the Coal industry, which includes 8 individual companies and currently sits at #13 in the Zacks Industry Rank. Stocks in this group have gained about 63.8% so far this year, so ARCH is slightly underperforming its industry this group in terms of year-to-date returns.
In contrast, Gulfport Energy falls under the Oil and Gas - Exploration and Production - United States industry. Currently, this industry has 40 stocks and is ranked #17. Since the beginning of the year, the industry has moved +31.7%.
Arch Resources and Gulfport Energy could continue their solid performance, so investors interested in Oils-Energy stocks should continue to pay close attention to these stocks.
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