Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Is Eletrobras (EBR) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Utilities sector should help us answer this question.
Eletrobras is a member of the Utilities sector. This group includes 109 individual stocks and currently holds a Zacks Sector Rank of #5. 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 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. Eletrobras is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for EBR's full-year earnings has moved 12.5% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, EBR has gained about 75.7% so far this year. Meanwhile, the Utilities sector has returned an average of 18.8% on a year-to-date basis. As we can see, Eletrobras is performing better than its sector in the calendar year.
ENGIE - Sponsored ADR (ENGIY) is another Utilities stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 45.5%.
Over the past three months, ENGIE - Sponsored ADR's consensus EPS estimate for the current year has increased 5.2%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Eletrobras is a member of the Utility - Electric Power industry, which includes 59 individual companies and currently sits at #58 in the Zacks Industry Rank. On average, stocks in this group have gained 19.4% this year, meaning that EBR is performing better in terms of year-to-date returns. ENGIE - Sponsored ADR is also part of the same industry.
Eletrobras and ENGIE - Sponsored ADR could continue their solid performance, so investors interested in Utilities stocks should continue to pay close attention to these stocks.
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Centrais El?tricas Brasileiras SA (EBR): Free Stock Analysis Report ENGIE - Sponsored ADR (ENGIY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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