Investors focused on the Finance space have likely heard of Saratoga Investment (SAR), but is the stock performing well in comparison to the rest of its sector peers? 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.
Saratoga Investment is one of 828 companies in the Finance group. The Finance group currently sits at #6 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. SAR is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for SAR's full-year earnings has moved 3.33% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that SAR has returned about 14.89% since the start of the calendar year. Meanwhile, the Finance sector has returned an average of -3.62% on a year-to-date basis. As we can see, Saratoga Investment is performing better than its sector in the calendar year.
To break things down more, SAR belongs to the Financial - SBIC & Commercial Industry industry, a group that includes 35 individual companies and currently sits at #165 in the Zacks Industry Rank. On average, this group has gained an average of 6.55% so far this year, meaning that SAR is performing better in terms of year-to-date returns.
Going forward, investors interested in Finance stocks should continue to pay close attention to SAR as it looks to continue its solid performance.
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