For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Hersha Hospitality (HT) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Hersha Hospitality is a member of our Finance group, which includes 889 different companies and currently sits at #6 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. Hersha Hospitality is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for HT's full-year earnings has moved 14.9% 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 HT has returned about 0.8% since the start of the calendar year. At the same time, Finance stocks have lost an average of 19.3%. This shows that Hersha Hospitality is outperforming its peers so far this year.
Another Finance stock, which has outperformed the sector so far this year, is Banco Itau (ITUB). The stock has returned 6.7% year-to-date.
Over the past three months, Banco Itau's consensus EPS estimate for the current year has increased 2.8%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Hersha Hospitality is a member of the REIT and Equity Trust - Other industry, which includes 106 individual companies and currently sits at #83 in the Zacks Industry Rank. On average, stocks in this group have lost 20.5% this year, meaning that HT is performing better in terms of year-to-date returns.
Banco Itau, however, belongs to the Banks - Foreign industry. Currently, this 66-stock industry is ranked #84. The industry has moved -14.5% so far this year.
Investors with an interest in Finance stocks should continue to track Hersha Hospitality and Banco Itau. These stocks will be looking to continue their solid performance.
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