Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Has Algonquin Power & Utilities (AQN) 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 Utilities sector should help us answer this question.
Algonquin Power & Utilities is a member of our Utilities group, which includes 107 different companies and currently sits at #6 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. Algonquin Power & Utilities is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for AQN's full-year earnings has moved 0.3% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, AQN has gained about 13.2% so far this year. In comparison, Utilities companies have returned an average of 12%. This means that Algonquin Power & Utilities is performing better than its sector in terms of year-to-date returns.
One other Utilities stock that has outperformed the sector so far this year is ENGIE BRASL EGA (EGIEY). The stock is up 16.8% year-to-date.
In ENGIE BRASL EGA's case, the consensus EPS estimate for the current year increased 37.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Algonquin Power & Utilities is a member of the Utility - Electric Power industry, which includes 58 individual companies and currently sits at #83 in the Zacks Industry Rank. On average, stocks in this group have gained 12.8% this year, meaning that AQN is performing better in terms of year-to-date returns. ENGIE BRASL EGA is also part of the same industry.
Going forward, investors interested in Utilities stocks should continue to pay close attention to Algonquin Power & Utilities and ENGIE BRASL EGA as they could maintain their solid performance.
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Algonquin Power & Utilities Corp. (AQN): Free Stock Analysis Report ENGIE BRASL EGA (EGIEY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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