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Are financial stocks trailing Credit Agricole (CRARY) this year?
Investors interested in financial stocks should always look to find the best-performing companies in the group. Credit Agricole SA (CRARY) is a stock that could certainly catch the eye of many investors, but do its recent returns compare favorably to the sector as a whole? By looking at the stock’s year-to-date performance compared to its financial peers, we may be able to answer this question.
Credit Agricole SA is one of 854 companies in the Financial group. The Financial group currently sits at #11 in the Zacks Sector Rank. 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings prospects. This system has a long track record of success and these stocks tend to be on track to beat the market over the next one to three months. Credit Agricole SA is currently sporting a Zacks Rank of #2 (Buy).
Over the past quarter, the Zacks Consensus Estimate for CRARY’s full-year earnings has moved up 4.7%. This is a sign of improving analyst sentiment and a positive trend in the earnings outlook.
Based on the latest data, CRARY has returned 3.4% so far this year. However, shares in the Financial group rose around 2.4%, on average. As we can see, Credit Agricole SA performs better than its sector in the calendar year.
Another financial sector stock, Golub Capital BDC (GBDC), has outperformed the sector so far this year. The share’s accumulated return for the year is 4.3%.
The consensus estimate for Golub Capital BDC’s current year EPS has increased 1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To summarize further, Credit Agricole SA is owned by Banks – Foreign Industry, a group that includes 66 individual companies and currently sits at #52 in the Zacks Industry Rank. On average, this group has gained an average of 4.7% so far this year, meaning CRARY is slightly underperforming its industry in terms of year-to-date returns.
In contrast, Golub Capital BDC falls under the Financial industry – SBIC and Commercial Industry. This industry currently has 34 stocks and is ranked 140th. Since the beginning of the year, the industry has moved +7%.
Going forward, investors interested in financial stocks should continue to pay close attention to Credit Agricole SA and Golub Capital BDC as they can maintain their solid performance.
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