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Is Illinois Tool Works (ITW) Stock Outpacing Its Industrial Products Peers 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 Illinois Tool Works (ITW - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Industrial Products peers, we might be able to answer that question.

Illinois Tool Works is a member of the Industrial Products sector. This group includes 218 individual stocks and currently holds a Zacks Sector Rank of #2. 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. Illinois Tool Works is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for ITW's full-year earnings has moved 3.2% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, ITW has moved about 6.4% on a year-to-date basis. In comparison, Industrial Products companies have returned an average of 0.1%. This shows that Illinois Tool Works is outperforming its peers so far this year.

Another Industrial Products stock, which has outperformed the sector so far this year, is ABB . The stock has returned 11.3% year-to-date.

The consensus estimate for ABB's current year EPS has increased 7.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Illinois Tool Works belongs to the Manufacturing - General Industrial industry, which includes 37 individual stocks and currently sits at #83 in the Zacks Industry Rank. This group has gained an average of 3.3% so far this year, so ITW is performing better in this area.

In contrast, ABB falls under the Manufacturing - Electronics industry. Currently, this industry has 17 stocks and is ranked #22. Since the beginning of the year, the industry has moved +2%.

Investors interested in the Industrial Products sector may want to keep a close eye on Illinois Tool Works and ABB as they attempt to continue their solid performance.


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