For those looking to find strong Aerospace stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Howmet (HWM) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Howmet is one of 53 individual stocks in the Aerospace sector. Collectively, these companies sit at #2 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. Howmet is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for HWM's full-year earnings has moved 10.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, HWM has gained about 42.5% so far this year. Meanwhile, stocks in the Aerospace group have gained about 7.6% on average. This shows that Howmet is outperforming its peers so far this year.
Another stock in the Aerospace sector, Leonardo DRS, Inc. (DRS), has outperformed the sector so far this year. The stock's year-to-date return is 28.3%.
Over the past three months, Leonardo DRS, Inc.'s consensus EPS estimate for the current year has increased 0.9%. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Howmet belongs to the Aerospace - Defense industry, a group that includes 25 individual companies and currently sits at #91 in the Zacks Industry Rank. On average, stocks in this group have gained 8.9% this year, meaning that HWM is performing better in terms of year-to-date returns.
On the other hand, Leonardo DRS, Inc. belongs to the Aerospace - Defense Equipment industry. This 27-stock industry is currently ranked #33. The industry has moved +3.5% year to date.
Investors with an interest in Aerospace stocks should continue to track Howmet and Leonardo DRS, Inc. These stocks will be looking to continue their solid performance.
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Howmet Aerospace Inc. (HWM): Free Stock Analysis Report Leonardo DRS, Inc. (DRS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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