Is Arthur J. Gallagher (AJG) Outperforming Other Finance Stocks This Year?
For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Arthur J. Gallagher (AJG) 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 Finance sector should help us answer this question.
Arthur J. Gallagher is a member of our Finance group, which includes 899 different companies and currently sits at #4 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Arthur J. Gallagher is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for AJG's full-year earnings has moved 7.1% 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, AJG has moved about 4% on a year-to-date basis. At the same time, Finance stocks have lost an average of 1.1%. This shows that Arthur J. Gallagher is outperforming its peers so far this year.
Another Finance stock, which has outperformed the sector so far this year, is Credicorp (BAP). The stock has returned 39.7% year-to-date.
For Credicorp, the consensus EPS estimate for the current year has increased 13.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Arthur J. Gallagher is a member of the Insurance - Brokerage industry, which includes 10 individual companies and currently sits at #112 in the Zacks Industry Rank. This group has gained an average of 2.6% so far this year, so AJG is performing better in this area.
On the other hand, Credicorp belongs to the Banks - Foreign industry. This 60-stock industry is currently ranked #179. The industry has moved +6.2% year to date.
Investors with an interest in Finance stocks should continue to track Arthur J. Gallagher and Credicorp. These stocks will be looking to continue their solid performance.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Arthur J. Gallagher & Co. (AJG) : Free Stock Analysis Report
Credicorp Ltd. (BAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
