Are Finance Stocks Lagging Allstate (ALL) This Year?

The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Allstate (ALL) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Allstate is a member of our Finance group, which includes 880 different companies and currently sits at #6 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Allstate is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for ALL's full-year earnings has moved 17.6% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, ALL has moved about 21.9% on a year-to-date basis. Meanwhile, stocks in the Finance group have gained about 5.4% on average. This means that Allstate is outperforming the sector as a whole this year.

One other Finance stock that has outperformed the sector so far this year is Ameriprise Financial Services (AMP). The stock is up 7.3% year-to-date.

The consensus estimate for Ameriprise Financial Services' current year EPS has increased 6.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Allstate belongs to the Insurance - Property and Casualty industry, a group that includes 44 individual companies and currently sits at #154 in the Zacks Industry Rank. On average, stocks in this group have gained 0.3% this year, meaning that ALL is performing better in terms of year-to-date returns.

In contrast, Ameriprise Financial Services falls under the Financial - Investment Management industry. Currently, this industry has 37 stocks and is ranked #72. Since the beginning of the year, the industry has moved -11.5%.

Going forward, investors interested in Finance stocks should continue to pay close attention to Allstate and Ameriprise Financial Services as they could maintain their solid performance.

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

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Source Zacks-com