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Are Oils-Energy Stocks Lagging Western Midstream Partners (WES) 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. Has Western Midstream (WES - Free Report) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Oils-Energy sector should help us answer this question.

Western Midstream is a member of the Oils-Energy sector. This group includes 242 individual stocks and currently holds a Zacks Sector Rank of #16. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.

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. Western Midstream is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for WES' full-year earnings has moved 1.1% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, WES has gained about 34.7% so far this year. At the same time, Oils-Energy stocks have gained an average of 7.6%. As we can see, Western Midstream is performing better than its sector in the calendar year.

One other Oils-Energy stock that has outperformed the sector so far this year is Williams Companies, Inc. (The) (WMB - Free Report) . The stock is up 42% year-to-date.

In Williams Companies, Inc. (The)'s case, the consensus EPS estimate for the current year increased 2.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Western Midstream belongs to the Oil and Gas - Refining and Marketing - Master Limited Partnerships industry, a group that includes 6 individual companies and currently sits at #18 in the Zacks Industry Rank. On average, this group has gained an average of 47.1% so far this year, meaning that WES is slightly underperforming its industry in terms of year-to-date returns.

Williams Companies, Inc. (The), however, belongs to the Oil and Gas - Production and Pipelines industry. Currently, this 9-stock industry is ranked #35. The industry has moved +23.7% so far this year.

Investors with an interest in Oils-Energy stocks should continue to track Western Midstream and Williams Companies, Inc. (The). These stocks will be looking to continue their solid performance.


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