The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Berkshire Hathaway (BRK.B) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Finance sector should help us answer this question.
Berkshire Hathaway is one of 867 individual stocks in the Finance sector. Collectively, these companies sit at #8 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. BRK.B is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for BRK.B's full-year earnings has moved 9.62% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that BRK.B has returned about 10.19% since the start of the calendar year. At the same time, Finance stocks have lost an average of 4.89%. This means that Berkshire Hathaway is outperforming the sector as a whole this year.
Breaking things down more, BRK.B is a member of the Insurance - Property and Casualty industry, which includes 47 individual companies and currently sits at #179 in the Zacks Industry Rank. On average, stocks in this group have gained 7.29% this year, meaning that BRK.B is performing better in terms of year-to-date returns.
Going forward, investors interested in Finance stocks should continue to pay close attention to BRK.B as it looks to continue its solid performance.