Has Diana Shipping (DSX) Outpaced Other Transportation Stocks This Year?
The Transportation group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Diana Shipping (DSX) one of those stocks right now? 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.
Diana Shipping is one of 141 companies in the Transportation group. The Transportation group currently sits at #3 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. Diana Shipping is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for DSX's full-year earnings has moved 5.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that DSX has returned about 65% since the start of the calendar year. In comparison, Transportation companies have returned an average of -10.5%. This means that Diana Shipping is outperforming the sector as a whole this year.
Another Transportation stock, which has outperformed the sector so far this year, is Frontline (FRO). The stock has returned 61.7% year-to-date.
In Frontline's case, the consensus EPS estimate for the current year increased 31.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Diana Shipping is a member of the Transportation - Shipping industry, which includes 43 individual companies and currently sits at #26 in the Zacks Industry Rank. This group has gained an average of 43% so far this year, so DSX is performing better in this area. Frontline is also part of the same industry.
Diana Shipping and Frontline could continue their solid performance, so investors interested in Transportation stocks should continue to pay close attention to these stocks.
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