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Is CME Group (CME) Stock Outpacing Its Finance Peers This Year?

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For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Is CME Group (CME - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Finance sector should help us answer this question.

CME Group is a member of the Finance sector. This group includes 859 individual stocks and currently holds a Zacks Sector Rank of #16. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. CME Group is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for CME's full-year earnings has moved 1.8% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, CME has returned 7.8% so far this year. In comparison, Finance companies have returned an average of 6.5%. As we can see, CME Group is performing better than its sector in the calendar year.

One other Finance stock that has outperformed the sector so far this year is Capital Southwest (CSWC - Free Report) . The stock is up 20.1% year-to-date.

Over the past three months, Capital Southwest's consensus EPS estimate for the current year has increased 1.7%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, CME Group belongs to the Securities and Exchanges industry, a group that includes 8 individual stocks and currently sits at #87 in the Zacks Industry Rank. On average, this group has gained an average of 10.9% so far this year, meaning that CME is slightly underperforming its industry in terms of year-to-date returns.

In contrast, Capital Southwest falls under the Financial - Investment Management industry. Currently, this industry has 41 stocks and is ranked #114. Since the beginning of the year, the industry has moved +9.9%.

CME Group and Capital Southwest could continue their solid performance, so investors interested in Finance stocks should continue to pay close attention to these stocks.


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