Has Popular (BPOP) Outpaced Other Finance Stocks 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. Popular (BPOP) 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? 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.
Popular is one of 899 companies in the Finance group. The Finance group currently sits at #3 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 is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Popular is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for BPOP's full-year earnings has moved 11.7% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that BPOP has returned about 13.5% since the start of the calendar year. At the same time, Finance stocks have gained an average of 1%. This means that Popular is performing better than its sector in terms of year-to-date returns.
The Bank of Princeton (BPRN) is another Finance stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 6.5%.
The consensus estimate for The Bank of Princeton's current year EPS has increased 5.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Popular belongs to the Banks - Southeast industry, a group that includes 66 individual companies and currently sits at #34 in the Zacks Industry Rank. This group has gained an average of 3.3% so far this year, so BPOP is performing better in this area.
The Bank of Princeton, however, belongs to the Banks - Northeast industry. Currently, this 90-stock industry is ranked #29. The industry has moved +3.3% so far this year.
Investors with an interest in Finance stocks should continue to track Popular and The Bank of Princeton. These stocks will be looking to continue their solid performance.
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