The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Magnolia Oil & Gas Corp (MGY) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Oils-Energy peers, we might be able to answer that question.
Magnolia Oil & Gas Corp is one of 238 companies in the Oils-Energy group. The Oils-Energy group currently sits at #1 within 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 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. Magnolia Oil & Gas Corp is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for MGY's full-year earnings has moved 84.5% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, MGY has returned 30.8% so far this year. In comparison, Oils-Energy companies have returned an average of 29%. This means that Magnolia Oil & Gas Corp is outperforming the sector as a whole this year.
Another stock in the Oils-Energy sector, Talos Energy (TALO), has outperformed the sector so far this year. The stock's year-to-date return is 39.3%.
The consensus estimate for Talos Energy's current year EPS has increased 112.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Magnolia Oil & Gas Corp belongs to the Oil and Gas - Exploration and Production - United States industry, a group that includes 34 individual stocks and currently sits at #9 in the Zacks Industry Rank. On average, stocks in this group have gained 25.9% this year, meaning that MGY is performing better in terms of year-to-date returns. Talos Energy is also part of the same industry.
Investors with an interest in Oils-Energy stocks should continue to track Magnolia Oil & Gas Corp and Talos Energy. These stocks will be looking to continue their solid performance.
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Magnolia Oil & Gas Corp (MGY): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).