Investors interested in Auto-Tires-Trucks stocks should always be looking to find the best-performing companies in the group. Is China Yuchai (CYD) one of those stocks right now? 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.
China Yuchai is a member of the Auto-Tires-Trucks sector. This group includes 101 individual stocks and currently holds a Zacks Sector Rank of #10. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. China Yuchai is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for CYD's full-year earnings has moved 40.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, CYD has returned 17.8% so far this year. Meanwhile, stocks in the Auto-Tires-Trucks group have lost about 10.7% on average. This shows that China Yuchai is outperforming its peers so far this year.
Another Auto-Tires-Trucks stock, which has outperformed the sector so far this year, is Federal Signal (FSS). The stock has returned 6.5% year-to-date.
For Federal Signal, the consensus EPS estimate for the current year has increased 2.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, China Yuchai belongs to the Automotive - Original Equipment industry, a group that includes 52 individual stocks and currently sits at #168 in the Zacks Industry Rank. On average, stocks in this group have gained 1.4% this year, meaning that CYD is performing better in terms of year-to-date returns.
On the other hand, Federal Signal belongs to the Automotive - Domestic industry. This 16-stock industry is currently ranked #95. The industry has moved -12.7% year to date.
Going forward, investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to China Yuchai and Federal Signal as they could maintain their solid performance.
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China Yuchai International Limited (CYD): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).