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Are Aerospace Stocks Lagging Transdigm Group (TDG) 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. TransDigm Group (TDG - 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? By taking a look at the stock's year-to-date performance in comparison to its Aerospace peers, we might be able to answer that question.

TransDigm Group is one of 45 individual stocks in the Aerospace sector. Collectively, these companies sit at #2 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 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. TransDigm Group is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for TDG's full-year earnings has moved 0.1% 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, TDG has returned 30% so far this year. Meanwhile, stocks in the Aerospace group have lost about 3.4% on average. This shows that TransDigm Group is outperforming its peers so far this year.

Another Aerospace stock, which has outperformed the sector so far this year, is VirTra, Inc. (VTSI - Free Report) . The stock has returned 75.3% year-to-date.

Over the past three months, VirTra, Inc.'s consensus EPS estimate for the current year has increased 22.9%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, TransDigm Group belongs to the Aerospace - Defense Equipment industry, a group that includes 21 individual stocks and currently sits at #100 in the Zacks Industry Rank. Stocks in this group have gained about 12.2% so far this year, so TDG is performing better this group in terms of year-to-date returns.

In contrast, VirTra, Inc. falls under the Electronics - Military industry. Currently, this industry has 1 stocks and is ranked #2. Since the beginning of the year, the industry has moved +75.3%.

Investors with an interest in Aerospace stocks should continue to track TransDigm Group and VirTra, Inc. These stocks will be looking to continue their solid performance.


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