Is Regal Beloit (RRX) Stock Outpacing Its Industrial Products Peers This Year?
For those looking to find strong Industrial Products stocks, it is prudent to search for companies in the group that are outperforming their peers. Regal Beloit (RRX) 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.
Regal Beloit is one of 224 individual stocks in the Industrial Products sector. Collectively, these companies sit at #4 in the Zacks Sector Rank. 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 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. Regal Beloit is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for RRX's full-year earnings has moved 2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, RRX has returned 25.8% so far this year. Meanwhile, stocks in the Industrial Products group have gained about 11.5% on average. This means that Regal Beloit is performing better than its sector in terms of year-to-date returns.
Reliance Steel (RS) is another Industrial Products stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 41%.
Over the past three months, Reliance Steel's consensus EPS estimate for the current year has increased 6.7%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Regal Beloit belongs to the Manufacturing - Electronics industry, a group that includes 17 individual stocks and currently sits at #24 in the Zacks Industry Rank. On average, stocks in this group have gained 16% this year, meaning that RRX is performing better in terms of year-to-date returns.
On the other hand, Reliance Steel belongs to the Metal Products - Distribution industry. This 5-stock industry is currently ranked #121. The industry has moved +20.8% year to date.
Investors interested in the Industrial Products sector may want to keep a close eye on Regal Beloit and Reliance Steel as they attempt to continue their solid performance.
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