Has Brighthouse Financial (BHF) Outpaced 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. Is Brighthouse Financial (BHF) 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.
Brighthouse Financial is a member of the Finance sector. This group includes 871 individual stocks and currently holds a Zacks Sector Rank of #10. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Brighthouse Financial is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for BHF's full-year earnings has moved 3.7% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, BHF has returned 5% so far this year. In comparison, Finance companies have returned an average of -8.6%. As we can see, Brighthouse Financial is performing better than its sector in the calendar year.
Another stock in the Finance sector, Capital Southwest (CSWC), has outperformed the sector so far this year. The stock's year-to-date return is 9.7%.
Over the past three months, Capital Southwest's consensus EPS estimate for the current year has increased 4.9%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Brighthouse Financial is a member of the Insurance - Life Insurance industry, which includes 13 individual companies and currently sits at #29 in the Zacks Industry Rank. Stocks in this group have lost about 4.5% so far this year, so BHF is performing better this group in terms of year-to-date returns.
On the other hand, Capital Southwest belongs to the Financial - Investment Management industry. This 44-stock industry is currently ranked #36. The industry has moved -14.2% year to date.
Investors with an interest in Finance stocks should continue to track Brighthouse Financial and Capital Southwest. These stocks will be looking to continue their solid performance.
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