Is NGL Energy Partners (NGL) Stock Outpacing Its Oils-Energy Peers This Year?
The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. NGL Energy Partners LP (NGL) 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.
NGL Energy Partners LP is one of 250 companies in the Oils-Energy group. The Oils-Energy group currently sits at #15 within the Zacks Sector Rank. 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 proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. NGL Energy Partners LP is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for NGL's full-year earnings has moved 171.9% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, NGL has returned 234.7% so far this year. Meanwhile, the Oils-Energy sector has returned an average of -3.8% on a year-to-date basis. As we can see, NGL Energy Partners LP is performing better than its sector in the calendar year.
Weatherford (WFRD) is another Oils-Energy stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 20.8%.
Over the past three months, Weatherford's consensus EPS estimate for the current year has increased 19.7%. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, NGL Energy Partners LP is a member of the Oil and Gas - Refining and Marketing - Master Limited Partnerships industry, which includes 7 individual companies and currently sits at #62 in the Zacks Industry Rank. Stocks in this group have gained about 2% so far this year, so NGL is performing better this group in terms of year-to-date returns.
In contrast, Weatherford falls under the Oil and Gas - Field Services industry. Currently, this industry has 23 stocks and is ranked #221. Since the beginning of the year, the industry has moved -6.9%.
Investors with an interest in Oils-Energy stocks should continue to track NGL Energy Partners LP and Weatherford. These stocks will be looking to continue their solid performance.
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