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Is State Street (STT) Stock Outpacing Its Finance Peers This Year?

Zacks Equity Research

The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has State Street (STT) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

State Street is a member of our Finance group, which includes 844 different companies and currently sits at #6 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. STT is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for STT's full-year earnings has moved 12.52% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that STT has returned about 2.67% since the start of the calendar year. Meanwhile, the Finance sector has returned an average of -0.06% on a year-to-date basis. This shows that State Street is outperforming its peers so far this year.

Breaking things down more, STT is a member of the Banks - Major Regional industry, which includes 15 individual companies and currently sits at #32 in the Zacks Industry Rank. Stocks in this group have lost about 2.85% so far this year, so STT is performing better this group in terms of year-to-date returns.

Going forward, investors interested in Finance stocks should continue to pay close attention to STT as it looks to continue its solid performance.


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