For those looking to find strong Conglomerates stocks, it is prudent to search for companies in the group that are outperforming their peers. Has ITT (ITT) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Conglomerates sector should help us answer this question.
ITT is a member of the Conglomerates sector. This group includes 27 individual stocks and currently holds a Zacks Sector Rank of #1. 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. ITT is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for ITT's full-year earnings has moved 4.4% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that ITT has returned about 13.1% since the start of the calendar year. Meanwhile, stocks in the Conglomerates group have lost about 16.5% on average. This means that ITT is performing better than its sector in terms of year-to-date returns.
Mitsubishi Corp. (MSBHF) is another Conglomerates stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 43.2%.
In Mitsubishi Corp.'s case, the consensus EPS estimate for the current year increased 6.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, ITT belongs to the Diversified Operations industry, a group that includes 27 individual stocks and currently sits at #47 in the Zacks Industry Rank. This group has lost an average of 16.5% so far this year, so ITT is performing better in this area. Mitsubishi Corp. is also part of the same industry.
Investors with an interest in Conglomerates stocks should continue to track ITT and Mitsubishi Corp.. These stocks will be looking to continue their solid performance.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ITT Inc. (ITT): Free Stock Analysis Report
Mitsubishi Corp. (MSBHF): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).