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Is Baxter International (BAX) Outperforming Other Medical Stocks This Year?

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For those looking to find strong Medical stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Baxter International (BAX - Free Report) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Medical peers, we might be able to answer that question.

Baxter International is one of 1161 individual stocks in the Medical sector. Collectively, these companies sit at #9 in 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Baxter International is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for BAX's full-year earnings has moved 8.3% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, BAX has returned 1% so far this year. In comparison, Medical companies have returned an average of -8.5%. This means that Baxter International is outperforming the sector as a whole this year.

Gamida Cell (GMDA - Free Report) is another Medical stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 25.2%.

The consensus estimate for Gamida Cell's current year EPS has increased 3.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Baxter International is a member of the Medical - Products industry, which includes 90 individual companies and currently sits at #175 in the Zacks Industry Rank. This group has lost an average of 6.7% so far this year, so BAX is performing better in this area.

Gamida Cell, however, belongs to the Medical - Biomedical and Genetics industry. Currently, this 540-stock industry is ranked #147. The industry has moved -13.1% so far this year.

Going forward, investors interested in Medical stocks should continue to pay close attention to Baxter International and Gamida Cell as they could maintain their solid performance.


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