In This Article:
For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Cheniere Energy Partners, L.P. (CQP) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Cheniere Energy Partners, L.P. is one of 249 companies in the Oils-Energy group. The Oils-Energy group currently sits at #8 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 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. Cheniere Energy Partners, L.P. is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for CQP's full-year earnings has moved 1.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, CQP has returned 17% so far this year. Meanwhile, stocks in the Oils-Energy group have gained about 10.8% on average. As we can see, Cheniere Energy Partners, L.P. is performing better than its sector in the calendar year.
Range Resources (RRC) is another Oils-Energy stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 14.2%.
In Range Resources' case, the consensus EPS estimate for the current year increased 9.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Cheniere Energy Partners, L.P. belongs to the Alternative Energy - Other industry, which includes 46 individual stocks and currently sits at #39 in the Zacks Industry Rank. Stocks in this group have gained about 82% so far this year, so CQP is slightly underperforming its industry this group in terms of year-to-date returns.
Range Resources, however, belongs to the Oil and Gas - Exploration and Production - United States industry. Currently, this 34-stock industry is ranked #79. The industry has moved +18.7% so far this year.
Investors with an interest in Oils-Energy stocks should continue to track Cheniere Energy Partners, L.P. and Range Resources. These stocks will be looking to continue their solid performance.