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Is China Automotive Systems (CAAS) Stock Outpacing Its Auto-Tires-Trucks Peers This Year?

For those looking to find strong Auto-Tires-Trucks stocks, it is prudent to search for companies in the group that are outperforming their peers. Is China Automotive Systems (CAAS) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Auto-Tires-Trucks sector should help us answer this question.

China Automotive Systems is a member of our Auto-Tires-Trucks group, which includes 123 different companies and currently sits 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 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. China Automotive Systems is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for CAAS' full-year earnings has moved 55% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

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According to our latest data, CAAS has moved about 164.6% on a year-to-date basis. Meanwhile, the Auto-Tires-Trucks sector has returned an average of -46.5% on a year-to-date basis. This means that China Automotive Systems is outperforming the sector as a whole this year.

Mazda Motor Corporation (MZDAY) is another Auto-Tires-Trucks stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 2.9%.

Over the past three months, Mazda Motor Corporation's consensus EPS estimate for the current year has increased 40.6%. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, China Automotive Systems belongs to the Automotive - Original Equipment industry, a group that includes 61 individual companies and currently sits at #141 in the Zacks Industry Rank. On average, this group has lost an average of 27.2% so far this year, meaning that CAAS is performing better in terms of year-to-date returns.

Mazda Motor Corporation, however, belongs to the Automotive - Foreign industry. Currently, this 28-stock industry is ranked #57. The industry has moved -38.8% so far this year.

China Automotive Systems and Mazda Motor Corporation could continue their solid performance, so investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to these stocks.

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China Automotive Systems, Inc. (CAAS) : Free Stock Analysis Report

Mazda Motor Corporation (MZDAY) : Free Stock Analysis Report

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Zacks Investment Research