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Are Utilities Stocks Lagging Deutsche Telekom (DTEGY) This Year?

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Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Is Deutsche Telekom AG (DTEGY - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Utilities sector should help us answer this question.

Deutsche Telekom AG is one of 105 individual stocks in the Utilities sector. Collectively, these companies sit at #3 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Deutsche Telekom AG is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for DTEGY's full-year earnings has moved 4.2% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the most recent data, DTEGY has returned 8.3% so far this year. In comparison, Utilities companies have returned an average of 7.8%. This shows that Deutsche Telekom AG is outperforming its peers so far this year.

One other Utilities stock that has outperformed the sector so far this year is FirstEnergy (FE - Free Report) . The stock is up 14.2% year-to-date.

The consensus estimate for FirstEnergy's current year EPS has increased 0.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Deutsche Telekom AG belongs to the Diversified Communication Services industry, which includes 14 individual stocks and currently sits at #190 in the Zacks Industry Rank. This group has lost an average of 3.4% so far this year, so DTEGY is performing better in this area.

On the other hand, FirstEnergy belongs to the Utility - Electric Power industry. This 59-stock industry is currently ranked #93. The industry has moved +11% year to date.

Investors interested in the Utilities sector may want to keep a close eye on Deutsche Telekom AG and FirstEnergy as they attempt to continue their solid performance.


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