The Auto-Tires-Trucks group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Autoliv, Inc. (ALV) been one of those stocks this year? 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.
Autoliv, Inc. is one of 104 individual stocks in the Auto-Tires-Trucks sector. Collectively, these companies sit at #12 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 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. Autoliv, Inc. is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for ALV's full-year earnings has moved 0.8% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that ALV has returned about 0.2% since the start of the calendar year. Meanwhile, the Auto-Tires-Trucks sector has returned an average of -8.3% on a year-to-date basis. This means that Autoliv, Inc. is performing better than its sector in terms of year-to-date returns.
Another Auto-Tires-Trucks stock, which has outperformed the sector so far this year, is BorgWarner (BWA). The stock has returned 42.2% year-to-date.
For BorgWarner, the consensus EPS estimate for the current year has increased 0.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Autoliv, Inc. belongs to the Automotive - Original Equipment industry, which includes 52 individual stocks and currently sits at #160 in the Zacks Industry Rank. On average, stocks in this group have gained 5% this year, meaning that ALV is slightly underperforming its industry in terms of year-to-date returns. BorgWarner is also part of the same industry.
Autoliv, Inc. and BorgWarner could continue their solid performance, so investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to these stocks.
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This article originally published on Zacks Investment Research (zacks.com).