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Is Heico (HEI) Stock Outpacing Its Aerospace Peers This Year?

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The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Heico Corporation (HEI - 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 Aerospace peers, we might be able to answer that question.

Heico Corporation is a member of the Aerospace sector. This group includes 45 individual stocks and currently holds a Zacks Sector Rank of #2. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

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. Heico Corporation is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for HEI's full-year earnings has moved 2.4% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, HEI has returned 20.7% so far this year. Meanwhile, the Aerospace sector has returned an average of -3.1% on a year-to-date basis. This shows that Heico Corporation is outperforming its peers so far this year.

Another Aerospace stock, which has outperformed the sector so far this year, is Leidos (LDOS - Free Report) . The stock has returned 38.4% year-to-date.

The consensus estimate for Leidos' current year EPS has increased 10.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Heico Corporation belongs to the Aerospace - Defense Equipment industry, a group that includes 21 individual companies and currently sits at #71 in the Zacks Industry Rank. On average, stocks in this group have gained 14.3% this year, meaning that HEI is performing better in terms of year-to-date returns.

In contrast, Leidos falls under the Aerospace - Defense industry. Currently, this industry has 23 stocks and is ranked #78. Since the beginning of the year, the industry has moved -8.3%.

Going forward, investors interested in Aerospace stocks should continue to pay close attention to Heico Corporation and Leidos as they could maintain their solid performance.


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