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Is Algonquin Power & Utilities (AQN) Outperforming 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. Algonquin Power & Utilities (AQN - Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Utilities sector should help us answer this question.

Algonquin Power & Utilities is a member of the Utilities sector. This group includes 108 individual stocks and currently holds a Zacks Sector Rank of #4. 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. Algonquin Power & Utilities is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for AQN's full-year earnings has moved 3.4% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, AQN has gained about 30.3% so far this year. At the same time, Utilities stocks have gained an average of 13.4%. This means that Algonquin Power & Utilities is performing better than its sector in terms of year-to-date returns.

Another Utilities stock, which has outperformed the sector so far this year, is MYR Group (MYRG - Free Report) . The stock has returned 23% year-to-date.

For MYR Group, the consensus EPS estimate for the current year has increased 5.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Algonquin Power & Utilities belongs to the Utility - Electric Power industry, which includes 59 individual stocks and currently sits at #80 in the Zacks Industry Rank. On average, stocks in this group have gained 13% this year, meaning that AQN is performing better in terms of year-to-date returns.

In contrast, MYR Group falls under the Electric Construction industry. Currently, this industry has 1 stocks and is ranked #2. Since the beginning of the year, the industry has moved +23%.

Going forward, investors interested in Utilities stocks should continue to pay close attention to Algonquin Power & Utilities and MYR Group as they could maintain their solid performance.


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