For those looking to find strong Transportation stocks, it is prudent to search for companies in the group that are outperforming their peers. International Seaways (INSW) 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Transportation sector should help us answer this question.
International Seaways is one of 99 individual stocks in the Transportation sector. Collectively, these companies sit at #4 in the Zacks Sector Rank. 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. International Seaways is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for INSW's full-year earnings has moved 212.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, INSW has gained about 70.4% so far this year. Meanwhile, stocks in the Transportation group have gained about 12.5% on average. This means that International Seaways is outperforming the sector as a whole this year.
One other Transportation stock that has outperformed the sector so far this year is Scorpio Tankers (STNG). The stock is up 58.1% year-to-date.
The consensus estimate for Scorpio Tankers' current year EPS has increased 146.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, International Seaways belongs to the Transportation - Shipping industry, a group that includes 22 individual stocks and currently sits at #32 in the Zacks Industry Rank. Stocks in this group have gained about 45.2% so far this year, so INSW is performing better this group in terms of year-to-date returns. Scorpio Tankers is also part of the same industry.
International Seaways and Scorpio Tankers could continue their solid performance, so investors interested in Transportation stocks should continue to pay close attention to these stocks.
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International Seaways Inc. (INSW): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).