For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Baytex Energy (BTE) 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 Oils-Energy sector should help us answer this question.
Baytex Energy is a member of our Oils-Energy group, which includes 242 different companies and currently sits at #10 in 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Baytex Energy is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for BTE's full-year earnings has moved 64.3% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, BTE has gained about 16.7% so far this year. Meanwhile, the Oils-Energy sector has returned an average of 5.1% on a year-to-date basis. This means that Baytex Energy is performing better than its sector in terms of year-to-date returns.
One other Oils-Energy stock that has outperformed the sector so far this year is Warrior Met Coal (HCC). The stock is up 54% year-to-date.
Over the past three months, Warrior Met Coal's consensus EPS estimate for the current year has increased 1278.9%. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Baytex Energy is a member of the Oil and Gas - Exploration and Production - Canadian industry, which includes 10 individual companies and currently sits at #157 in the Zacks Industry Rank. On average, this group has gained an average of 0.3% so far this year, meaning that BTE is performing better in terms of year-to-date returns.
In contrast, Warrior Met Coal falls under the Coal industry. Currently, this industry has 8 stocks and is ranked #157. Since the beginning of the year, the industry has moved +12.4%.
Investors with an interest in Oils-Energy stocks should continue to track Baytex Energy and Warrior Met Coal. These stocks will be looking to continue their solid performance.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Baytex Energy Corp (BTE): Free Stock Analysis Report Warrior Met Coal (HCC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
