The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Donegal Group (DGICA) one of those stocks right now? 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.
Donegal Group is one of 866 individual stocks in the Finance sector. Collectively, these companies sit at #2 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. Donegal Group is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for DGICA's full-year earnings has moved 91.7% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that DGICA has returned about 21.7% since the start of the calendar year. At the same time, Finance stocks have gained an average of 12.6%. As we can see, Donegal Group is performing better than its sector in the calendar year.
Another stock in the Finance sector, Hamilton Insurance (HG), has outperformed the sector so far this year. The stock's year-to-date return is 24%.
Over the past three months, Hamilton Insurance's consensus EPS estimate for the current year has increased 14.7%. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Donegal Group is a member of the Insurance - Property and Casualty industry, which includes 41 individual companies and currently sits at #63 in the Zacks Industry Rank. On average, this group has gained an average of 6.1% so far this year, meaning that DGICA is performing better in terms of year-to-date returns.
On the other hand, Hamilton Insurance belongs to the Insurance - Multi line industry. This 45-stock industry is currently ranked #68. The industry has moved +4.4% year to date.
Investors interested in the Finance sector may want to keep a close eye on Donegal Group and Hamilton Insurance as they attempt to continue their solid performance.
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Donegal Group, Inc. (DGICA): Free Stock Analysis Report Hamilton Insurance Group, Ltd. (HG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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