Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Shenandoah Telecommunications (SHEN) 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? One simple way to answer this question is to take a look at the year-to-date performance of SHEN and the rest of the Utilities group's stocks.
Shenandoah Telecommunications is one of 125 companies in the Utilities group. The Utilities group currently sits at #7 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. SHEN is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for SHEN's full-year earnings has moved 67.58% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, SHEN has returned 38.49% so far this year. Meanwhile, stocks in the Utilities group have gained about 3.03% on average. This shows that Shenandoah Telecommunications is outperforming its peers so far this year.
To break things down more, SHEN belongs to the Diversified Communication Services industry, a group that includes 18 individual companies and currently sits at #98 in the Zacks Industry Rank. Stocks in this group have lost about 9.41% so far this year, so SHEN is performing better this group in terms of year-to-date returns.
Investors in the Utilities sector will want to keep a close eye on SHEN as it attempts to continue its solid performance.
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