The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is APA (APA) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
APA is one of 254 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #2 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. APA is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for APA's full-year earnings has moved 10% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that APA has returned about 87.6% since the start of the calendar year. At the same time, Oils-Energy stocks have gained an average of 37.5%. This means that APA is performing better than its sector in terms of year-to-date returns.
Another stock in the Oils-Energy sector, Phillips 66 (PSX), has outperformed the sector so far this year. The stock's year-to-date return is 115.6%.
For Phillips 66, the consensus EPS estimate for the current year has increased 51% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, APA is a member of the Oil and Gas - Exploration and Production - United States industry, which includes 34 individual companies and currently sits at #69 in the Zacks Industry Rank. This group has gained an average of 29% so far this year, so APA is performing better in this area.
Phillips 66, however, belongs to the Oil and Gas - Refining and Marketing industry. Currently, this 15-stock industry is ranked #5. The industry has moved +146.7% so far this year.
Investors with an interest in Oils-Energy stocks should continue to track APA and Phillips 66. These stocks will be looking to continue their solid performance.
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This article originally published on Zacks Investment Research (zacks.com).