Are Finance Stocks Lagging American Homes 4 Rent (AMH) This Year?
The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. American Homes 4 Rent (AMH) 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? Let's take a closer look at the stock's year-to-date performance to find out.
American Homes 4 Rent is one of 848 individual stocks in the Finance sector. Collectively, these companies sit at #9 in the Zacks Sector Rank. 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 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. American Homes 4 Rent is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for AMH's full-year earnings has moved 0.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, AMH has gained about 15.8% so far this year. At the same time, Finance stocks have gained an average of 5.1%. This means that American Homes 4 Rent is outperforming the sector as a whole this year.
Another stock in the Finance sector, Arch Capital Group (ACGL), has outperformed the sector so far this year. The stock's year-to-date return is 36.9%.
In Arch Capital Group's case, the consensus EPS estimate for the current year increased 14% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, American Homes 4 Rent belongs to the REIT and Equity Trust - Residential industry, a group that includes 26 individual stocks and currently sits at #132 in the Zacks Industry Rank. Stocks in this group have lost about 5.7% so far this year, so AMH is performing better this group in terms of year-to-date returns.
In contrast, Arch Capital Group falls under the Insurance - Property and Casualty industry. Currently, this industry has 38 stocks and is ranked #29. Since the beginning of the year, the industry has moved +10.5%.
Investors interested in the Finance sector may want to keep a close eye on American Homes 4 Rent and Arch Capital Group as they attempt to continue their solid performance.
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American Homes 4 Rent (AMH) : Free Stock Analysis Report
Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report
