Are Finance Stocks Lagging AvalonBay Communities (AVB) This Year?
The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has AvalonBay Communities (AVB) been one of those stocks this year? 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.
AvalonBay Communities is one of 851 companies in the Finance group. The Finance group currently sits at #12 within 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 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. AvalonBay Communities is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for AVB's full-year earnings has moved 0.9% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, AVB has returned 12.2% so far this year. In comparison, Finance companies have returned an average of 8.2%. This means that AvalonBay Communities is outperforming the sector as a whole this year.
Another Finance stock, which has outperformed the sector so far this year, is Banco Do Brasil SA (BDORY). The stock has returned 49.1% year-to-date.
In Banco Do Brasil SA's case, the consensus EPS estimate for the current year increased 4.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, AvalonBay Communities is a member of the REIT and Equity Trust - Residential industry, which includes 26 individual companies and currently sits at #74 in the Zacks Industry Rank. On average, stocks in this group have gained 2% this year, meaning that AVB is performing better in terms of year-to-date returns.
Banco Do Brasil SA, however, belongs to the Banks - Foreign industry. Currently, this 64-stock industry is ranked #67. The industry has moved +14.4% so far this year.
Investors with an interest in Finance stocks should continue to track AvalonBay Communities and Banco Do Brasil SA. These stocks will be looking to continue their solid performance.
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AvalonBay Communities, Inc. (AVB) : Free Stock Analysis Report
Banco Do Brasil SA (BDORY) : Free Stock Analysis Report
