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Is Suncor Energy (SU) Outperforming Other Oils-Energy Stocks This Year?

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For those looking to find strong Oils-Energy stocks, it is prudent to search for companies in the group that are outperforming their peers. Suncor Energy (SU - 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.

Suncor Energy is a member of the Oils-Energy sector. This group includes 254 individual stocks and currently holds a Zacks Sector Rank of #2. 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Suncor Energy is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for SU's full-year earnings has moved 3.6% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, SU has gained about 26.6% so far this year. Meanwhile, stocks in the Oils-Energy group have gained about 24.4% on average. This means that Suncor Energy is performing better than its sector in terms of year-to-date returns.

Another stock in the Oils-Energy sector, Exxon Mobil (XOM - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 39.5%.

The consensus estimate for Exxon Mobil's current year EPS has increased 26.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Suncor Energy is a member of the Oil and Gas - Integrated - Canadian industry, which includes 3 individual companies and currently sits at #5 in the Zacks Industry Rank. On average, stocks in this group have gained 28.8% this year, meaning that SU is slightly underperforming its industry in terms of year-to-date returns.

In contrast, Exxon Mobil falls under the Oil and Gas - Integrated - International industry. Currently, this industry has 16 stocks and is ranked #18. Since the beginning of the year, the industry has moved +30.7%.

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


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