Is Allison Transmission Holdings (ALSN) Outperforming Other Auto-Tires-Trucks Stocks This Year?
For those looking to find strong Auto-Tires-Trucks stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Allison Transmission (ALSN) 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 Auto-Tires-Trucks sector should help us answer this question.
Allison Transmission is a member of the Auto-Tires-Trucks sector. This group includes 111 individual stocks and currently holds a Zacks Sector Rank of #8. 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. Allison Transmission is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for ALSN's full-year earnings has moved 9% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, ALSN has returned 35.9% so far this year. In comparison, Auto-Tires-Trucks companies have returned an average of -6.8%. This means that Allison Transmission is performing better than its sector in terms of year-to-date returns.
Another Auto-Tires-Trucks stock, which has outperformed the sector so far this year, is Modine (MOD). The stock has returned 69.4% year-to-date.
For Modine, the consensus EPS estimate for the current year has increased 7.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Allison Transmission belongs to the Automotive - Original Equipment industry, a group that includes 55 individual stocks and currently sits at #146 in the Zacks Industry Rank. Stocks in this group have gained about 4.7% so far this year, so ALSN is performing better this group in terms of year-to-date returns. Modine is also part of the same industry.
Investors interested in the Auto-Tires-Trucks sector may want to keep a close eye on Allison Transmission and Modine as they attempt to continue their solid performance.
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Allison Transmission Holdings, Inc. (ALSN) : Free Stock Analysis Report
Modine Manufacturing Company (MOD) : Free Stock Analysis Report
