For those looking to find strong Industrial Products stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Donaldson (DCI) 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 Industrial Products sector should help us answer this question.
Donaldson is a member of the Industrial Products sector. This group includes 187 individual stocks and currently holds a Zacks Sector Rank of #6. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. Donaldson is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for DCI's full-year earnings has moved 2.9% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, DCI has returned 22.9% so far this year. At the same time, Industrial Products stocks have gained an average of 3.4%. As we can see, Donaldson is performing better than its sector in the calendar year.
One other Industrial Products stock that has outperformed the sector so far this year is Lincoln Electric Holdings (LECO). The stock is up 25.4% year-to-date.
The consensus estimate for Lincoln Electric Holdings' current year EPS has increased 6.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Donaldson belongs to the Pollution Control industry, a group that includes 7 individual stocks and currently sits at #184 in the Zacks Industry Rank. This group has gained an average of 4.6% so far this year, so DCI is performing better in this area.
In contrast, Lincoln Electric Holdings falls under the Manufacturing - Tools & Related Products industry. Currently, this industry has 7 stocks and is ranked #36. Since the beginning of the year, the industry has moved +2.2%.
Going forward, investors interested in Industrial Products stocks should continue to pay close attention to Donaldson and Lincoln Electric Holdings as they could maintain their solid performance.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Donaldson Company, Inc. (DCI): Free Stock Analysis Report Lincoln Electric Holdings, Inc. (LECO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
