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. Dorman Products (DORM) 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? By taking a look at the stock's year-to-date performance in comparison to its Auto-Tires-Trucks peers, we might be able to answer that question.
Dorman Products is one of 96 individual stocks in the Auto-Tires-Trucks sector. Collectively, these companies sit at #15 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Dorman Products is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for DORM's full-year earnings has moved 6.7% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, DORM has returned 10.3% so far this year. Meanwhile, stocks in the Auto-Tires-Trucks group have lost about 9.6% on average. As we can see, Dorman Products is performing better than its sector in the calendar year.
Another stock in the Auto-Tires-Trucks sector, Holley Inc. (HLLY), has outperformed the sector so far this year. The stock's year-to-date return is 7%.
Over the past three months, Holley Inc.'s consensus EPS estimate for the current year has increased 18.9%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Dorman Products is a member of the Automotive - Replacement Parts industry, which includes 6 individual companies and currently sits at #100 in the Zacks Industry Rank. On average, stocks in this group have lost 11.4% this year, meaning that DORM is performing better in terms of year-to-date returns.
On the other hand, Holley Inc. belongs to the Automotive - Original Equipment industry. This 50-stock industry is currently ranked #143. The industry has moved +1.4% year to date.
Going forward, investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to Dorman Products and Holley Inc. as they could maintain their solid performance.
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Dorman Products, Inc. (DORM): Free Stock Analysis Report Holley Inc. (HLLY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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