For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Has American Express (AXP) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
American Express is a member of the Finance sector. This group includes 871 individual stocks and currently holds a Zacks Sector Rank of #1. 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. American Express is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for AXP's full-year earnings has moved 2.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, AXP has gained about 44.1% so far this year. Meanwhile, stocks in the Finance group have gained about 20.4% on average. As we can see, American Express is performing better than its sector in the calendar year.
One other Finance stock that has outperformed the sector so far this year is Ageas SA (AGESY). The stock is up 21.1% year-to-date.
For Ageas SA, the consensus EPS estimate for the current year has increased 4.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, American Express belongs to the Financial - Miscellaneous Services industry, which includes 84 individual stocks and currently sits at #154 in the Zacks Industry Rank. On average, stocks in this group have gained 10.8% this year, meaning that AXP is performing better in terms of year-to-date returns.
Ageas SA, however, belongs to the Insurance - Multi line industry. Currently, this 40-stock industry is ranked #100. The industry has moved +17.6% so far this year.
Investors with an interest in Finance stocks should continue to track American Express and Ageas SA. These stocks will be looking to continue their solid performance.
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