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Has Caterpillar (CAT) Outpaced Other Industrial Products Stocks This Year?

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Investors interested in Industrial Products stocks should always be looking to find the best-performing companies in the group. Is Caterpillar (CAT - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Industrial Products sector should help us answer this question.

Caterpillar is one of 224 companies in the Industrial Products group. The Industrial Products group currently sits at #9 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Caterpillar 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 2.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, CAT has moved about 13.6% on a year-to-date basis. In comparison, Industrial Products companies have returned an average of 0%. This means that Caterpillar is outperforming the sector as a whole this year.

Emerson Electric (EMR - Free Report) is another Industrial Products stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 15.7%.

For Emerson Electric, the consensus EPS estimate for the current year has increased 7.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Caterpillar belongs to the Manufacturing - Construction and Mining industry, a group that includes 6 individual companies and currently sits at #114 in the Zacks Industry Rank.

In contrast, Emerson Electric falls under the Manufacturing - Electronics industry. Currently, this industry has 18 stocks and is ranked #53. Since the beginning of the year, the industry has moved 0%.

Investors with an interest in Industrial Products stocks should continue to track Caterpillar and Emerson Electric. These stocks will be looking to continue their solid performance.


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