Are Oils-Energy Stocks Lagging Saipem (SAPMF) This Year?

The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Saipem (SAPMF) 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.

Saipem is one of 252 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #10 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. Saipem is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for SAPMF's full-year earnings has moved 8.3% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, SAPMF has moved about 75.4% on a year-to-date basis. At the same time, Oils-Energy stocks have gained an average of 27.7%. This means that Saipem is outperforming the sector as a whole this year.

Another Oils-Energy stock, which has outperformed the sector so far this year, is Valvoline (VVV). The stock has returned 34.3% year-to-date.

For Valvoline, the consensus EPS estimate for the current year has increased 3.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Saipem is a member of the Oil and Gas - Drilling industry, which includes 9 individual companies and currently sits at #168 in the Zacks Industry Rank. On average, stocks in this group have gained 40.6% this year, meaning that SAPMF is performing better in terms of year-to-date returns.

On the other hand, Valvoline belongs to the Oil and Gas - Refining and Marketing industry. This 16-stock industry is currently ranked #30. The industry has moved +58.9% year to date.

Investors with an interest in Oils-Energy stocks should continue to track Saipem and Valvoline. These stocks will be looking to continue their solid performance.

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This article originally published on Zacks Investment Research (zacks.com).

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Source Zacks-com