Investors interested in Finance stocks should always be looking to find the best-performing companies in the group. Has Ares Commercial Real Estate (ACRE) been one of those stocks this year? 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.
Ares Commercial Real Estate is one of 853 companies in the Finance group. The Finance group currently sits at #4 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 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. Ares Commercial Real Estate is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for ACRE's full-year earnings has moved 1533.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that ACRE has returned about 8.2% since the start of the calendar year. Meanwhile, the Finance sector has returned an average of 0.3% on a year-to-date basis. This shows that Ares Commercial Real Estate is outperforming its peers so far this year.
Brookfield Asset Management (BAM) is another Finance stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 0.5%.
In Brookfield Asset Management's case, the consensus EPS estimate for the current year increased 2.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Ares Commercial Real Estate belongs to the REIT and Equity Trust industry, which includes 31 individual stocks and currently sits at #187 in the Zacks Industry Rank. On average, stocks in this group have gained 2.9% this year, meaning that ACRE is performing better in terms of year-to-date returns.
Brookfield Asset Management, however, belongs to the Financial - Miscellaneous Services industry. Currently, this 103-stock industry is ranked #84. The industry has moved -8.5% so far this year.
Ares Commercial Real Estate and Brookfield Asset Management could continue their solid performance, so investors interested in Finance stocks should continue to pay close attention to these stocks.
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Ares Commercial Real Estate Corporation (ACRE): Free Stock Analysis Report Brookfield Asset Management Ltd. (BAM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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