The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is AAR (AIR) one of those stocks right now? 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.
AAR is a member of our Aerospace group, which includes 68 different companies and currently sits at #1 in 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. AAR is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for AIR's full-year earnings has moved 7.1% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, AIR has gained about 38.5% so far this year. In comparison, Aerospace companies have returned an average of 11.4%. As we can see, AAR is performing better than its sector in the calendar year.
One other Aerospace stock that has outperformed the sector so far this year is BWX Technologies (BWXT). The stock is up 17% year-to-date.
The consensus estimate for BWX Technologies' current year EPS has increased 1.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, AAR is a member of the Aerospace - Defense Equipment industry, which includes 37 individual companies and currently sits at #53 in the Zacks Industry Rank. On average, this group has gained an average of 10.8% so far this year, meaning that AIR is performing better in terms of year-to-date returns. BWX Technologies is also part of the same industry.
Going forward, investors interested in Aerospace stocks should continue to pay close attention to AAR and BWX Technologies as they could maintain their solid performance.
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AAR Corp. (AIR): Free Stock Analysis Report BWX Technologies, Inc. (BWXT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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