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Are Utilities Stocks Lagging Deutsche Telekom (DTEGY) This Year?

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Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Has Deutsche Telekom AG (DTEGY - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Deutsche Telekom AG is a member of our Utilities group, which includes 106 different companies and currently sits at #2 in 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 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. Deutsche Telekom AG is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for DTEGY's full-year earnings has moved 4.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that DTEGY has returned about 29.6% since the start of the calendar year. In comparison, Utilities companies have returned an average of 7.2%. As we can see, Deutsche Telekom AG is performing better than its sector in the calendar year.

One other Utilities stock that has outperformed the sector so far this year is Telefonica (TEF - Free Report) . The stock is up 31.6% year-to-date.

The consensus estimate for Telefonica's current year EPS has increased 21.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Deutsche Telekom AG belongs to the Diversified Communication Services industry, a group that includes 15 individual stocks and currently sits at #90 in the Zacks Industry Rank. Stocks in this group have gained about 11.2% so far this year, so DTEGY is performing better this group in terms of year-to-date returns. Telefonica is also part of the same industry.

Deutsche Telekom AG and Telefonica could continue their solid performance, so investors interested in Utilities stocks should continue to pay close attention to these stocks.


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