The Consumer Staples group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Archer Daniels Midland (ADM - 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? One simple way to answer this question is to take a look at the year-to-date performance of ADM and the rest of the Consumer Staples group's stocks.
Archer Daniels Midland is one of 168 individual stocks in the Consumer Staples sector. Collectively, these companies sit at #11 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. ADM is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for ADM's full-year earnings has moved 1.54% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, ADM has gained about 5.35% so far this year. At the same time, Consumer Staples stocks have gained an average of 2.80%. This means that Archer Daniels Midland is performing better than its sector in terms of year-to-date returns.
Breaking things down more, ADM is a member of the Agriculture - Operations industry, which includes 7 individual companies and currently sits at #36 in the Zacks Industry Rank. On average, stocks in this group have gained 5.92% this year, meaning that ADM is slightly underperforming its industry in terms of year-to-date returns.
Going forward, investors interested in Consumer Staples stocks should continue to pay close attention to ADM as it looks to continue its solid performance.