Are Finance Stocks Lagging Arch Capital Group (ACGL) 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 Arch Capital Group (ACGL) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Finance peers, we might be able to answer that question.
Arch Capital Group is one of 852 companies in the Finance group. The Finance group currently sits at #11 within 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 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. Arch Capital Group is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for ACGL's full-year earnings has moved 8.2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, ACGL has gained about 25.5% so far this year. Meanwhile, stocks in the Finance group have gained about 7.8% on average. As we can see, Arch Capital Group is performing better than its sector in the calendar year.
One other Finance stock that has outperformed the sector so far this year is Banco Macro (BMA). The stock is up 41.8% year-to-date.
In Banco Macro's case, the consensus EPS estimate for the current year increased 112.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Arch Capital Group belongs to the Insurance - Property and Casualty industry, a group that includes 40 individual stocks and currently sits at #61 in the Zacks Industry Rank. On average, stocks in this group have gained 13.3% this year, meaning that ACGL is performing better in terms of year-to-date returns.
On the other hand, Banco Macro belongs to the Banks - Foreign industry. This 64-stock industry is currently ranked #49. The industry has moved +12.9% year to date.
Investors interested in the Finance sector may want to keep a close eye on Arch Capital Group and Banco Macro as they attempt to continue their solid performance.
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Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report
Macro Bank Inc. (BMA) : Free Stock Analysis Report
