For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Halliburton (HAL) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Halliburton is a member of the Oils-Energy sector. This group includes 250 individual stocks and currently holds a Zacks Sector Rank of #1. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Halliburton is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for HAL's full-year earnings has moved 3.5% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that HAL has returned about 70.1% since the start of the calendar year. Meanwhile, stocks in the Oils-Energy group have gained about 45.3% on average. This shows that Halliburton is outperforming its peers so far this year.
One other Oils-Energy stock that has outperformed the sector so far this year is RPC (RES). The stock is up 120% year-to-date.
In RPC's case, the consensus EPS estimate for the current year increased 48.2% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Halliburton belongs to the Oil and Gas - Field Services industry, a group that includes 25 individual companies and currently sits at #25 in the Zacks Industry Rank. Stocks in this group have gained about 20.6% so far this year, so HAL is performing better this group in terms of year-to-date returns. RPC is also part of the same industry.
Investors with an interest in Oils-Energy stocks should continue to track Halliburton and RPC. These stocks will be looking to continue their solid performance.
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