Is Diamondback Energy (FANG) Outperforming Other Oils-Energy Stocks This Year?

Investors interested in Oils-Energy stocks should always be looking to find the best-performing companies in the group. Is Diamondback Energy (FANG) one of those stocks right now? A quick glance at the company’s year-to-date performance in comparison to the rest of the Oils-Energy sector should help us answer this question.

Diamondback Energy is one of 239 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #1 in the Zacks Sector Rank. 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Diamondback Energy is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for FANG’s full-year earnings has moved 113.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, FANG has returned 26.7% so far this year. In comparison, Oils-Energy companies have returned an average of 26.5%. This shows that Diamondback Energy is outperforming its peers so far this year.

Nabors Industries (NBR) is another Oils-Energy stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 77.8%.

For Nabors Industries, the consensus EPS estimate for the current year has increased 43.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Diamondback Energy belongs to the Oil and Gas – Exploration and Production – United States industry, a group that includes 34 individual companies and currently sits at #20 in the Zacks Industry Rank. On average, stocks in this group have gained 25.3% this year, meaning that FANG is performing better in terms of year-to-date returns.

Nabors Industries, however, belongs to the Oil and Gas – Drilling industry. Currently, this 8-stock industry is ranked #68. The industry has moved +58.9% so far this year.

Investors interested in the Oils-Energy sector may want to keep a close eye on Diamondback Energy and Nabors Industries as they attempt to continue their solid performance.

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