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Has Southwest Airlines (LUV) Outpaced Other Transportation Stocks This Year?

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Investors focused on the Transportation space have likely heard of Southwest Airlines (LUV - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? One simple way to answer this question is to take a look at the year-to-date performance of LUV and the rest of the Transportation group's stocks.

Southwest Airlines is one of 149 individual stocks in the Transportation sector. Collectively, these companies sit at #1 in 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. LUV is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for LUV's full-year earnings has moved 9.92% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, LUV has moved about 24.14% on a year-to-date basis. In comparison, Transportation companies have returned an average of 14.74%. This means that Southwest Airlines is performing better than its sector in terms of year-to-date returns.

Breaking things down more, LUV is a member of the Transportation - Airline industry, which includes 28 individual companies and currently sits at #8 in the Zacks Industry Rank. Stocks in this group have gained about 10.74% so far this year, so LUV is performing better this group in terms of year-to-date returns.

Investors with an interest in Transportation stocks should continue to track LUV. The stock will be looking to continue its solid performance.


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