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Is Koninklijke KPN (KKPNF) Outperforming Other Utilities Stocks This Year?

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For those looking to find strong Utilities stocks, it is prudent to search for companies in the group that are outperforming their peers. Koninklijke KPN NV (KKPNF - 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.

Koninklijke KPN NV is a member of our Utilities group, which includes 110 different companies and currently sits at #4 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Koninklijke KPN NV is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for KKPNF's full-year earnings has moved 7.7% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the most recent data, KKPNF has returned 15.2% so far this year. Meanwhile, stocks in the Utilities group have gained about 10.1% on average. This means that Koninklijke KPN NV is outperforming the sector as a whole this year.

Another stock in the Utilities sector, Telefonica Brasil (VIV - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 32.2%.

Over the past three months, Telefonica Brasil's consensus EPS estimate for the current year has increased 17%. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Koninklijke KPN NV is a member of the Diversified Communication Services industry, which includes 17 individual companies and currently sits at #83 in the Zacks Industry Rank. On average, stocks in this group have gained 1.4% this year, meaning that KKPNF is performing better in terms of year-to-date returns. Telefonica Brasil is also part of the same industry.

Investors interested in the Utilities sector may want to keep a close eye on Koninklijke KPN NV and Telefonica Brasil as they attempt to continue their solid performance.

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