For those looking to find strong Utilities stocks, it is prudent to search for companies in the group that are outperforming their peers. Is FirstEnergy (FE - 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.
FirstEnergy is a member of the Utilities sector. This group includes 121 individual stocks and currently holds a Zacks Sector Rank of #4. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. FE is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for FE's full-year earnings has moved 1.46% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, FE has returned 1.20% so far this year. At the same time, Utilities stocks have gained an average of 0.59%. As we can see, FirstEnergy is performing better than its sector in the calendar year.
To break things down more, FE belongs to the Utility - Electric Power industry, a group that includes 64 individual companies and currently sits at #76 in the Zacks Industry Rank. This group has lost an average of 0.49% so far this year, so FE is performing better in this area.
FE will likely be looking to continue its solid performance, so investors interested in Utilities stocks should continue to pay close attention to the company.