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Is Devon Energy (DVN) Stock Outpacing Its Oils-Energy Peers This Year?

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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. Devon Energy (DVN - Free Report) 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? 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.

Devon Energy is one of 254 individual stocks in the Oils-Energy sector. Collectively, these companies sit at #2 in 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. Devon Energy is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for DVN's full-year earnings has moved 16.4% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

According to our latest data, DVN has moved about 33.8% on a year-to-date basis. At the same time, Oils-Energy stocks have gained an average of 22.4%. This means that Devon Energy is outperforming the sector as a whole this year.

One other Oils-Energy stock that has outperformed the sector so far this year is Arch Resources (ARCH - Free Report) . The stock is up 56.7% year-to-date.

For Arch Resources, the consensus EPS estimate for the current year has increased 60.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Devon Energy belongs to the Oil and Gas - Exploration and Production - United States industry, a group that includes 41 individual companies and currently sits at #51 in the Zacks Industry Rank. On average, stocks in this group have gained 30.4% this year, meaning that DVN is performing better in terms of year-to-date returns.

In contrast, Arch Resources falls under the Coal industry. Currently, this industry has 9 stocks and is ranked #8. Since the beginning of the year, the industry has moved +51.4%.

Investors interested in the Oils-Energy sector may want to keep a close eye on Devon Energy and Arch Resources as they attempt to continue their solid performance.


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