The drop in oil prices has taken its toll on energy stocks. But one strategist is optimistic on the sector’s prospects. Crude prices (CLV15.NYM) are approaching $40 per barrel, down from nearly $100 a year ago. Lower oil prices helped to bring down the S&P 500’s energy sector, which is down 17% since the beginning of 2015. Energy (^GSPE) is the worst performer of the 10 major sectors in the S&P 500 (^GSPC). Throughout the year, analysts lowered their expectations on energy stocks because of oil’s decline. But when second-quarter earnings came out, energy companies soundly beat Wall Street’s expectations. The sector’s earnings were on average 30% higher than analysts’ estimates. Five of the top 10 companies with the largest earnings surprises were in the energy business. Company Ticker Sector Q2 EPS Estimate Q2 EPS Actual % Difference Electronic Arts EA Information Technology $0.022 $0.15 650% Hudson City Bancorp HCBK Financials $0.005 $0.07 600% ... More