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Is Allstate (ALL) Stock Outpacing Its Finance Peers This Year?

For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Allstate (ALL) 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 Finance sector should help us answer this question.

Allstate is a member of our Finance group, which includes 857 different companies and currently sits at #9 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Allstate is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for ALL's full-year earnings has moved 2.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

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Based on the most recent data, ALL has returned 14.3% so far this year. At the same time, Finance stocks have gained an average of 1.5%. This shows that Allstate is outperforming its peers so far this year.

Another stock in the Finance sector, Erste Group Bank AG (EBKDY), has outperformed the sector so far this year. The stock's year-to-date return is 3.6%.

In Erste Group Bank AG's case, the consensus EPS estimate for the current year increased 2.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Allstate belongs to the Insurance - Property and Casualty industry, which includes 37 individual stocks and currently sits at #109 in the Zacks Industry Rank. This group has gained an average of 11% so far this year, so ALL is performing better in this area.

On the other hand, Erste Group Bank AG belongs to the Banks - Foreign industry. This 69-stock industry is currently ranked #76. The industry has moved -4.6% year to date.

Investors with an interest in Finance stocks should continue to track Allstate and Erste Group Bank AG. These stocks will be looking to continue their solid performance.

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The Allstate Corporation (ALL) : Free Stock Analysis Report

Erste Group Bank AG (EBKDY) : Free Stock Analysis Report

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Zacks Investment Research