Investors interested in Auto-Tires-Trucks stocks should always be looking to find the best-performing companies in the group. Garrett Motion (GTX) 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.
Garrett Motion is a member of our Auto-Tires-Trucks group, which includes 104 different companies and currently sits at #12 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. Garrett Motion is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for GTX's full-year earnings has moved 4.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that GTX has returned about 56% since the start of the calendar year. In comparison, Auto-Tires-Trucks companies have returned an average of -12.8%. As we can see, Garrett Motion is performing better than its sector in the calendar year.
Hyliion Holdings Corp. (HYLN) 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 107.6%.
In Hyliion Holdings Corp.'s case, the consensus EPS estimate for the current year increased 6.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Garrett Motion is a member of the Automotive - Original Equipment industry, which includes 52 individual companies and currently sits at #170 in the Zacks Industry Rank. On average, stocks in this group have gained 1.6% this year, meaning that GTX is performing better in terms of year-to-date returns. Hyliion Holdings Corp. is also part of the same industry.
Garrett Motion and Hyliion Holdings Corp. 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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Garrett Motion Inc. (GTX): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).