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The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Kodiak Gas Services (KGS) one of those stocks right now? 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.
Kodiak Gas Services is one of 247 companies in the Oils-Energy group. The Oils-Energy group currently sits at #5 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. Kodiak Gas Services is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for KGS' full-year earnings has moved 4.3% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, KGS has returned 10.9% so far this year. At the same time, Oils-Energy stocks have gained an average of 3.2%. This means that Kodiak Gas Services is performing better than its sector in terms of year-to-date returns.
Another stock in the Oils-Energy sector, Plains All American Pipeline (PAA), has outperformed the sector so far this year. The stock's year-to-date return is 13.6%.
In Plains All American Pipeline's case, the consensus EPS estimate for the current year increased 8.1% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Kodiak Gas Services belongs to the Oil and Gas - Mechanical and and Equipment industry, a group that includes 10 individual companies and currently sits at #89 in the Zacks Industry Rank. On average, stocks in this group have gained 8.5% this year, meaning that KGS is performing better in terms of year-to-date returns.
Plains All American Pipeline, however, belongs to the Oil and Gas - Production Pipeline - MLB industry. Currently, this 6-stock industry is ranked #14. The industry has moved +1.7% so far this year.
Kodiak Gas Services and Plains All American Pipeline could continue their solid performance, so investors interested in Oils-Energy stocks should continue to pay close attention to these stocks.
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