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Is Berkshire Hathaway (BRK.B) Outperforming Other Finance Stocks This Year?

Zacks Equity Research
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Investors interested in Finance stocks should always be looking to find the best-performing companies in the group. Is Berkshire Hathaway (BRK.B) one of those stocks right now? 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.

Berkshire Hathaway is a member of the Finance sector. This group includes 856 individual stocks and currently holds a Zacks Sector Rank of #10. 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 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. BRK.B is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for BRK.B's full-year earnings has moved 4.08% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, BRK.B has moved about 3.12% on a year-to-date basis. In comparison, Finance companies have returned an average of 13.12%. This shows that Berkshire Hathaway is outperforming its peers so far this year.

Breaking things down more, BRK.B is a member of the Insurance - Property and Casualty industry, which includes 45 individual companies and currently sits at #70 in the Zacks Industry Rank. On average, stocks in this group have gained 4.72% this year, meaning that BRK.B is slightly underperforming its industry in terms of year-to-date returns.

Going forward, investors interested in Finance stocks should continue to pay close attention to BRK.B as it looks to continue its solid performance.


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