The Auto-Tires-Trucks group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. General Motors (GM) 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.
General Motors is one of 99 companies in the Auto-Tires-Trucks group. The Auto-Tires-Trucks group currently sits at #9 within 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. General Motors is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for GM's full-year earnings has moved 9.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, GM has gained about 51.9% so far this year. Meanwhile, stocks in the Auto-Tires-Trucks group have gained about 14.8% on average. This means that General Motors is outperforming the sector as a whole this year.
Magna (MGA) is another Auto-Tires-Trucks stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 24.1%.
Over the past three months, Magna's consensus EPS estimate for the current year has increased 6.7%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, General Motors belongs to the Automotive - Domestic industry, which includes 14 individual stocks and currently sits at #95 in the Zacks Industry Rank. Stocks in this group have gained about 17.6% so far this year, so GM is performing better this group in terms of year-to-date returns.
Magna, however, belongs to the Automotive - Original Equipment industry. Currently, this 51-stock industry is ranked #87. The industry has moved -2.2% so far this year.
Investors with an interest in Auto-Tires-Trucks stocks should continue to track General Motors and Magna. These stocks will be looking to continue their solid performance.
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General Motors Company (GM): Free Stock Analysis Report Magna International Inc. (MGA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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