Is Imperial Oil (IMO) 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. Has Imperial Oil (IMO) been one of those stocks this year? By taking a look at the stock’s year-to-date performance in comparison to its Oils-Energy peers, we might be able to answer that question.
Imperial Oil is one of 240 companies in the Oils-Energy group. The Oils-Energy group currently sits at #1 within 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 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. Imperial Oil is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for IMO’s full-year earnings has moved 64.2% higher. This shows that analyst sentiment has improved and the company’s earnings outlook is stronger.
Based on the most recent data, IMO has returned 42.3% so far this year. At the same time, Oils-Energy stocks have gained an average of 24%. This means that Imperial Oil is outperforming the sector as a whole this year.
Another stock in the Oils-Energy sector, Cenovus Energy (CVE), has outperformed the sector so far this year. The stock’s year-to-date return is 47.2%.
For Cenovus Energy, the consensus EPS estimate for the current year has increased 60.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Imperial Oil belongs to the Oil and Gas – Integrated – Canadian industry, a group that includes 4 individual companies and currently sits at #5 in the Zacks Industry Rank. On average, this group has gained an average of 42% so far this year, meaning that IMO is performing better in terms of year-to-date returns. Cenovus Energy is also part of the same industry.
Investors with an interest in Oils-Energy stocks should continue to track Imperial Oil and Cenovus Energy. These stocks will be looking to continue their solid performance.
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This article originally published on Zacks Investment Research (zacks.com).