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Is Caterpillar (CAT) Outperforming Other Industrial Products Stocks This Year?

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The Industrial Products group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Caterpillar (CAT - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Caterpillar is one of 223 individual stocks in the Industrial Products sector. Collectively, these companies sit at #3 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. CAT is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for CAT's full-year earnings has moved 17.14% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that CAT has returned about 14.25% since the start of the calendar year. Meanwhile, the Industrial Products sector has returned an average of 11.48% on a year-to-date basis. This means that Caterpillar is performing better than its sector in terms of year-to-date returns.

Looking more specifically, CAT belongs to the Manufacturing - Construction and Mining industry, a group that includes 8 individual stocks and currently sits at #183 in the Zacks Industry Rank. On average, stocks in this group have gained 15.49% this year, meaning that CAT is slightly underperforming its industry in terms of year-to-date returns.

Investors in the Industrial Products sector will want to keep a close eye on CAT as it attempts to continue its solid performance.


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