Is Delek Logistics Partners (DKL) Outperforming Other Oils-Energy Stocks This Year?
For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Delek Logistics Partners, L.P. (DKL) 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? 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.
Delek Logistics Partners, L.P. is one of 252 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #12 in the Zacks Sector Rank. 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. Delek Logistics Partners, L.P. is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for DKL’s full-year earnings has moved 0.2% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, DKL has gained about 27.7% so far this year. In comparison, Oils-Energy companies have returned an average of 24.8%. This means that Delek Logistics Partners, L.P. is performing better than its sector in terms of year-to-date returns.
One other Oils-Energy stock that has outperformed the sector so far this year is EnQuest (ENQUF). The stock is up 162.7% year-to-date.
In EnQuest’s case, the consensus EPS estimate for the current year increased 175% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Delek Logistics Partners, L.P. is a member of the Oil and Gas – Production Pipeline – MLB industry, which includes 7 individual companies and currently sits at #75 in the Zacks Industry Rank. On average, stocks in this group have gained 21.3% this year, meaning that DKL is performing better in terms of year-to-date returns.
In contrast, EnQuest falls under the Oil and Gas – Exploration and Production – International industry. Currently, this industry has 9 stocks and is ranked #98. Since the beginning of the year, the industry has moved +49.3%.
Investors with an interest in Oils-Energy stocks should continue to track Delek Logistics Partners, L.P. and EnQuest. These stocks will be looking to continue their solid performance.