For those looking to find strong Industrial Products stocks, it is prudent to search for companies in the group that are outperforming their peers. AZZ (AZZ) 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 Industrial Products peers, we might be able to answer that question.
AZZ is one of 187 companies in the Industrial Products group. The Industrial Products group currently sits at #4 within 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. AZZ is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for AZZ's full-year earnings has moved 5.1% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, AZZ has gained about 32.3% so far this year. At the same time, Industrial Products stocks have gained an average of 9.1%. This shows that AZZ is outperforming its peers so far this year.
One other Industrial Products stock that has outperformed the sector so far this year is Life360 (LIF). The stock is up 161.3% year-to-date.
Over the past three months, Life360's consensus EPS estimate for the current year has increased 29.2%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, AZZ is a member of the Manufacturing - Electronics industry, which includes 15 individual companies and currently sits at #86 in the Zacks Industry Rank. Stocks in this group have gained about 11.4% so far this year, so AZZ is performing better this group in terms of year-to-date returns.
On the other hand, Life360 belongs to the Security and Safety Services industry. This 17-stock industry is currently ranked #12. The industry has moved +30.3% year to date.
AZZ and Life360 could continue their solid performance, so investors interested in Industrial Products stocks should continue to pay close attention to these stocks.
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AZZ Inc. (AZZ): Free Stock Analysis Report Life360, Inc. (LIF): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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