For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Franklin Resources (BEN) 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.
Franklin Resources is one of 868 companies in the Finance group. The Finance group currently sits at #6 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. Franklin Resources is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for BEN's full-year earnings has moved 6.7% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, BEN has returned 12.6% so far this year. At the same time, Finance stocks have gained an average of 12.2%. As we can see, Franklin Resources is performing better than its sector in the calendar year.
One other Finance stock that has outperformed the sector so far this year is EPR Properties (EPR). The stock is up 23.2% year-to-date.
The consensus estimate for EPR Properties' current year EPS has increased 0.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Franklin Resources belongs to the Financial - Investment Management industry, which includes 35 individual stocks and currently sits at #50 in the Zacks Industry Rank. On average, stocks in this group have lost 8.4% this year, meaning that BEN is performing better in terms of year-to-date returns.
On the other hand, EPR Properties belongs to the REIT and Equity Trust - Retail industry. This 20-stock industry is currently ranked #68. The industry has moved -6% year to date.
Investors with an interest in Finance stocks should continue to track Franklin Resources and EPR Properties. These stocks will be looking to continue their solid performance.
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Franklin Resources, Inc. (BEN): Free Stock Analysis Report EPR Properties (EPR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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