Are Oils-Energy Stocks Lagging Chevron (CVX) This Year?
The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Chevron (CVX) 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? By taking a look at the stock's year-to-date performance in comparison to its Oils-Energy peers, we might be able to answer that question.
Chevron is one of 254 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #1 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. Chevron is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for CVX's full-year earnings has moved 2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, CVX has gained about 32.4% so far this year. At the same time, Oils-Energy stocks have gained an average of 24.3%. This shows that Chevron is outperforming its peers so far this year.
FMC Technologies (FTI) is another Oils-Energy stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 38.5%.
Over the past three months, FMC Technologies' consensus EPS estimate for the current year has increased 7.2%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Chevron is a member of the Oil and Gas - Integrated - International industry, which includes 16 individual companies and currently sits at #19 in the Zacks Industry Rank. On average, this group has gained an average of 28.6% so far this year, meaning that CVX is performing better in terms of year-to-date returns.
On the other hand, FMC Technologies belongs to the Oil and Gas - Field Services industry. This 26-stock industry is currently ranked #34. The industry has moved -2.9% year to date.
Investors with an interest in Oils-Energy stocks should continue to track Chevron and FMC Technologies. These stocks will be looking to continue their solid performance.
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