The Industrial Products group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. ABB (ABBNY) 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 Industrial Products sector should help us answer this question.
ABB is one of 217 individual stocks in the Industrial Products sector. Collectively, these companies sit at #1 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. ABB is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ABBNY's full-year earnings has moved 5.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
According to our latest data, ABBNY has moved about 21.7% on a year-to-date basis. In comparison, Industrial Products companies have returned an average of -2.3%. This shows that ABB is outperforming its peers so far this year.
Another stock in the Industrial Products sector, AptarGroup (ATR), has outperformed the sector so far this year. The stock's year-to-date return is 3.1%.
In AptarGroup's case, the consensus EPS estimate for the current year increased 7.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, ABB is a member of the Manufacturing - Electronics industry, which includes 17 individual companies and currently sits at #24 in the Zacks Industry Rank. This group has gained an average of 0.7% so far this year, so ABBNY is performing better in this area.
In contrast, AptarGroup falls under the Containers - Paper and Packaging industry. Currently, this industry has 11 stocks and is ranked #54. Since the beginning of the year, the industry has moved -6%.
Investors interested in the Industrial Products sector may want to keep a close eye on ABB and AptarGroup as they attempt to continue their solid performance.
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