The Auto-Tires-Trucks group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Phinia (PHIN) 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.
Phinia is one of 103 individual stocks in the Auto-Tires-Trucks sector. Collectively, these companies sit at #8 in 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Phinia is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for PHIN's full-year earnings has moved 12.7% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, PHIN has gained about 24.5% so far this year. Meanwhile, the Auto-Tires-Trucks sector has returned an average of -1.8% on a year-to-date basis. This means that Phinia is performing better than its sector in terms of year-to-date returns.
Strattec Security (STRT) 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 19.4%.
In Strattec Security's case, the consensus EPS estimate for the current year increased 19.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Phinia belongs to the Automotive - Original Equipment industry, a group that includes 54 individual companies and currently sits at #84 in the Zacks Industry Rank. This group has gained an average of 8% so far this year, so PHIN is performing better in this area. Strattec Security is also part of the same industry.
Going forward, investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to Phinia and Strattec Security as they could maintain their solid performance.
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PHINIA Inc. (PHIN): Free Stock Analysis Report Strattec Security Corporation (STRT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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