Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Is DTE Energy (DTE) 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.
DTE Energy is a member of our Utilities group, which includes 106 different companies and currently sits at #1 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. DTE Energy is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for DTE's full-year earnings has moved 0.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, DTE has gained about 12.8% so far this year. Meanwhile, stocks in the Utilities group have gained about 5.6% on average. This means that DTE Energy is performing better than its sector in terms of year-to-date returns.
Another Utilities stock, which has outperformed the sector so far this year, is New Jersey Resources (NJR). The stock has returned 5.7% year-to-date.
In New Jersey Resources' case, the consensus EPS estimate for the current year increased 1.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, DTE Energy belongs to the Utility - Electric Power industry, a group that includes 60 individual stocks and currently sits at #34 in the Zacks Industry Rank. This group has gained an average of 6.3% so far this year, so DTE is performing better in this area.
On the other hand, New Jersey Resources belongs to the Utility - Gas Distribution industry. This 14-stock industry is currently ranked #63. The industry has moved -2.9% year to date.
Going forward, investors interested in Utilities stocks should continue to pay close attention to DTE Energy and New Jersey Resources as they could maintain their solid performance.
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DTE Energy Company (DTE): Free Stock Analysis Report NewJersey Resources Corporation (NJR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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