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Has AeroVironment (AVAV) Outpaced Other Aerospace Stocks This Year?

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For those looking to find strong Aerospace stocks, it is prudent to search for companies in the group that are outperforming their peers. AeroVironment (AVAV - Free Report) 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Aerospace sector should help us answer this question.

AeroVironment is a member of the Aerospace sector. This group includes 45 individual stocks and currently holds a Zacks Sector Rank of #13. 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. AeroVironment is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for AVAV's full-year earnings has moved 4.5% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, AVAV has returned 39.7% so far this year. Meanwhile, stocks in the Aerospace group have gained about 2.1% on average. This means that AeroVironment is performing better than its sector in terms of year-to-date returns.

One other Aerospace stock that has outperformed the sector so far this year is Huntington Ingalls (HII - Free Report) . The stock is up 15% year-to-date.

In Huntington Ingalls' case, the consensus EPS estimate for the current year increased 6.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, AeroVironment belongs to the Aerospace - Defense Equipment industry, which includes 23 individual stocks and currently sits at #150 in the Zacks Industry Rank. This group has gained an average of 3.3% so far this year, so AVAV is performing better in this area.

Huntington Ingalls, however, belongs to the Aerospace - Defense industry. Currently, this 21-stock industry is ranked #180. The industry has moved +1.3% so far this year.

AeroVironment and Huntington Ingalls could continue their solid performance, so investors interested in Aerospace stocks should continue to pay close attention to these stocks.


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Huntington Ingalls Industries, Inc. (HII) - free report >>

AeroVironment, Inc. (AVAV) - free report >>

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