Investors interested in Aerospace stocks should always be looking to find the best-performing companies in the group. ATI (ATI) 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 Aerospace peers, we might be able to answer that question.
ATI is one of 76 individual stocks in the Aerospace sector. Collectively, these companies sit at #3 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 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. ATI is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for ATI's full-year earnings has moved 2.3% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, ATI has returned 63.3% so far this year. Meanwhile, stocks in the Aerospace group have gained about 3.5% on average. This means that ATI is performing better than its sector in terms of year-to-date returns.
One other Aerospace stock that has outperformed the sector so far this year is Rolls-Royce Holdings PLC (RYCEY). The stock is up 26.2% year-to-date.
For Rolls-Royce Holdings PLC, the consensus EPS estimate for the current year has increased 10.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, ATI belongs to the Aerospace - Defense Equipment industry, which includes 36 individual stocks and currently sits at #62 in the Zacks Industry Rank. On average, stocks in this group have gained 5.3% this year, meaning that ATI is performing better in terms of year-to-date returns. Rolls-Royce Holdings PLC is also part of the same industry.
Going forward, investors interested in Aerospace stocks should continue to pay close attention to ATI and Rolls-Royce Holdings PLC as they could maintain their solid performance.
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This article originally published on Zacks Investment Research (zacks.com).