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Has Sempra Energy (SRE) Outpaced Other Utilities Stocks This Year?

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The Utilities group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Sempra (SRE - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Sempra is one of 108 companies in the Utilities group. The Utilities group currently sits at #10 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 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. Sempra is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for SRE's full-year earnings has moved 0.6% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that SRE has returned about 26% since the start of the calendar year. Meanwhile, stocks in the Utilities group have gained about 4.6% on average. This shows that Sempra is outperforming its peers so far this year.

Another Utilities stock, which has outperformed the sector so far this year, is Vistra Corp. (VST - Free Report) . The stock has returned 15.6% year-to-date.

The consensus estimate for Vistra Corp.'s current year EPS has increased 16% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Sempra is a member of the Utility - Gas Distribution industry, which includes 15 individual companies and currently sits at #97 in the Zacks Industry Rank. This group has gained an average of 16.3% so far this year, so SRE is performing better in this area.

In contrast, Vistra Corp. falls under the Utility - Electric Power industry. Currently, this industry has 61 stocks and is ranked #166. Since the beginning of the year, the industry has moved +4.3%.

Going forward, investors interested in Utilities stocks should continue to pay close attention to Sempra and Vistra Corp. as they could maintain their solid performance.


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