Is Duke Energy (DUK) Outperforming Other Utilities Stocks This Year?

Investors interested in Utilities stocks should always be looking to find the best-performing companies in the group. Duke Energy (DUK) 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? 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.

Duke Energy is one of 107 companies in the Utilities group. The Utilities group currently sits at #5 within 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Duke Energy is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for DUK's full-year earnings has moved 0.1% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that DUK has returned about 13.9% since the start of the calendar year. In comparison, Utilities companies have returned an average of 10.9%. This means that Duke Energy is performing better than its sector in terms of year-to-date returns.

Another stock in the Utilities sector, Telefonica Brasil (VIV), has outperformed the sector so far this year. The stock's year-to-date return is 31.7%.

In Telefonica Brasil's case, the consensus EPS estimate for the current year increased 17.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Duke Energy belongs to the Utility - Electric Power industry, a group that includes 58 individual companies and currently sits at #82 in the Zacks Industry Rank. On average, this group has gained an average of 12.1% so far this year, meaning that DUK is performing better in terms of year-to-date returns.

Telefonica Brasil, however, belongs to the Diversified Communication Services industry. Currently, this 18-stock industry is ranked #148. The industry has moved +3.9% so far this year.

Duke Energy and Telefonica Brasil could continue their solid performance, so investors interested in Utilities stocks should continue to pay close attention to these stocks.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include

Stock #1: A Disruptive Force with Notable Growth and Resilience

Stock #2: Bullish Signs Signaling to Buy the Dip

Stock #3: One of the Most Compelling Investments in the Market

Stock #4: Leader In a Red-Hot Industry Poised for Growth

Stock #5: Modern Omni-Channel Platform Coiled to Spring

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.

See Our Newest 5 Stocks Set to Double Picks >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Duke Energy Corporation (DUK): Free Stock Analysis Report

Telefonica Brasil S.A. (VIV): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research