The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Rolls-Royce Holdings PLC (RYCEY) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Aerospace sector should help us answer this question.
Rolls-Royce Holdings PLC is one of 58 individual stocks in the Aerospace sector. Collectively, these companies sit at #3 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. Rolls-Royce Holdings PLC is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for RYCEY's full-year earnings has moved 13.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, RYCEY has moved about 117.6% on a year-to-date basis. In comparison, Aerospace companies have returned an average of 26.7%. This means that Rolls-Royce Holdings PLC is performing better than its sector in terms of year-to-date returns.
One other Aerospace stock that has outperformed the sector so far this year is Woodward (WWD). The stock is up 44.2% year-to-date.
For Woodward, the consensus EPS estimate for the current year has increased 6.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Rolls-Royce Holdings PLC belongs to the Aerospace - Defense Equipment industry, a group that includes 33 individual companies and currently sits at #68 in the Zacks Industry Rank. Stocks in this group have gained about 23.5% so far this year, so RYCEY is performing better this group in terms of year-to-date returns. Woodward is also part of the same industry.
Rolls-Royce Holdings PLC and Woodward could continue their solid performance, so investors interested in Aerospace stocks should continue to pay close attention to these stocks.
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Rolls-Royce Holdings PLC (RYCEY): Free Stock Analysis Report Woodward, Inc. (WWD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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