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Is Pinnacle West Capital (PNW) Stock Outpacing Its Utilities Peers This Year?

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Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Is Pinnacle West (PNW - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Utilities peers, we might be able to answer that question.

Pinnacle West is a member of the Utilities sector. This group includes 111 individual stocks and currently holds a Zacks Sector Rank of #5. 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 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. Pinnacle West is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for PNW's full-year earnings has moved 1.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the most recent data, PNW has returned 18.8% so far this year. At the same time, Utilities stocks have lost an average of 0.2%. This means that Pinnacle West is outperforming the sector as a whole this year.

One other Utilities stock that has outperformed the sector so far this year is Southwest Gas (SWX - Free Report) . The stock is up 15.4% year-to-date.

Over the past three months, Southwest Gas' consensus EPS estimate for the current year has increased 0.1%. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Pinnacle West is a member of the Utility - Electric Power industry, which includes 63 individual companies and currently sits at #95 in the Zacks Industry Rank. On average, stocks in this group have gained 0.5% this year, meaning that PNW is performing better in terms of year-to-date returns.

In contrast, Southwest Gas falls under the Utility - Gas Distribution industry. Currently, this industry has 14 stocks and is ranked #104. Since the beginning of the year, the industry has moved +3.4%.

Investors with an interest in Utilities stocks should continue to track Pinnacle West and Southwest Gas. These stocks will be looking to continue their solid performance.

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