For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Energy Transfer (ET - 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 ET and the rest of the Oils-Energy group's stocks.
Energy Transfer is a member of the Oils-Energy sector. This group includes 313 individual stocks and currently holds a Zacks Sector Rank of #14. 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 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. ET is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for ET's full-year earnings has moved 0.90% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that ET has returned about 12.87% since the start of the calendar year. Meanwhile, stocks in the Oils-Energy group have gained about 10.29% on average. This means that Energy Transfer is performing better than its sector in terms of year-to-date returns.
Looking more specifically, ET belongs to the Oil and Gas - Production Pipeline - MLB industry, which includes 16 individual stocks and currently sits at #51 in the Zacks Industry Rank. This group has gained an average of 23.55% so far this year, so ET is slightly underperforming its industry in this area.
Investors in the Oils-Energy sector will want to keep a close eye on ET as it attempts to continue its solid performance.