The Industrial Products group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Nordson (NDSN) 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.
Nordson is a member of the Industrial Products sector. This group includes 180 individual stocks and currently holds a Zacks Sector Rank of #8. 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 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. Nordson is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for NDSN's full-year earnings has moved 2.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that NDSN has returned about 17.5% since the start of the calendar year. At the same time, Industrial Products stocks have gained an average of 13.1%. As we can see, Nordson 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 NN Inc. (NNBR). The stock is up 20.3% year-to-date.
In NN Inc.'s case, the consensus EPS estimate for the current year increased 21.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Nordson belongs to the Manufacturing - General Industrial industry, a group that includes 43 individual stocks and currently sits at #78 in the Zacks Industry Rank. This group has gained an average of 12.6% so far this year, so NDSN is performing better in this area.
On the other hand, NN Inc. belongs to the Metal Products - Procurement and Fabrication industry. This 6-stock industry is currently ranked #14. The industry has moved +7.4% year to date.
Investors with an interest in Industrial Products stocks should continue to track Nordson and NN Inc.. These stocks will be looking to continue their solid performance.
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Nordson Corporation (NDSN): Free Stock Analysis Report NN, Inc. (NNBR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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