Are Medical Stocks Lagging Alcon (ALC) This Year?
The Medical group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Alcon (ALC) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Alcon is one of 1091 companies in the Medical group. The Medical group currently sits at #3 within 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 proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Alcon is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for ALC's full-year earnings has moved 4.3% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that ALC has returned about 1.6% since the start of the calendar year. In comparison, Medical companies have returned an average of -10.8%. This means that Alcon is outperforming the sector as a whole this year.
Another stock in the Medical sector, Alpine Immune Sciences, Inc. (ALPN), has outperformed the sector so far this year. The stock's year-to-date return is 16.2%.
For Alpine Immune Sciences, Inc. the consensus EPS estimate for the current year has increased 17.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Alcon is a member of the Medical - Instruments industry, which includes 94 individual companies and currently sits at #144 in the Zacks Industry Rank. On average, stocks in this group have lost 16.4% this year, meaning that ALC is performing better in terms of year-to-date returns.
In contrast, Alpine Immune Sciences, Inc. falls under the Medical - Drugs industry. Currently, this industry has 193 stocks and is ranked #86. Since the beginning of the year, the industry has moved -18%.
Going forward, investors interested in Medical stocks should continue to pay close attention to Alcon and Alpine Immune Sciences, Inc. as they could maintain their solid performance.
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