Is KNOT Offshore Partners (KNOP) Stock Outpacing Its Transportation Peers This Year?

For those looking to find strong Transportation stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Knot Offshore (KNOP) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Transportation peers, we might be able to answer that question.

Knot Offshore is one of 122 individual stocks in the Transportation sector. Collectively, these companies sit at #4 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 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. Knot Offshore is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for KNOP's full-year earnings has moved 44.9% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, KNOP has gained about 14.9% so far this year. Meanwhile, stocks in the Transportation group have lost about 5.3% on average. This shows that Knot Offshore is outperforming its peers so far this year.

Another stock in the Transportation sector, Dorian LPG (LPG), has outperformed the sector so far this year. The stock's year-to-date return is 0%.

The consensus estimate for Dorian LPG's current year EPS has increased 23.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Knot Offshore belongs to the Transportation - Shipping industry, a group that includes 38 individual stocks and currently sits at #37 in the Zacks Industry Rank. Stocks in this group have lost about 6.4% so far this year, so KNOP is performing better this group in terms of year-to-date returns. Dorian LPG is also part of the same industry.

Investors interested in the Transportation sector may want to keep a close eye on Knot Offshore and Dorian LPG as they attempt to continue their solid performance.

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This article originally published on Zacks Investment Research (zacks.com).

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