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Is Roche Holding (RHHBY) Stock Outpacing Its Medical Peers This Year?

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The Medical group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Roche Holding AG (RHHBY - 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.

Roche Holding AG is one of 1000 companies in the Medical group. The Medical group currently sits at #2 within the Zacks Sector Rank. 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. Roche Holding AG is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for RHHBY's full-year earnings has moved 2.7% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that RHHBY has returned about 16.6% since the start of the calendar year. At the same time, Medical stocks have lost an average of 2%. As we can see, Roche Holding AG is performing better than its sector in the calendar year.

Another stock in the Medical sector, argenex SE (ARGX - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 2.4%.

In argenex SE's case, the consensus EPS estimate for the current year increased 22.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Roche Holding AG belongs to the Large Cap Pharmaceuticals industry, a group that includes 11 individual companies and currently sits at #35 in the Zacks Industry Rank. This group has gained an average of 2.5% so far this year, so RHHBY is performing better in this area.

In contrast, argenex SE falls under the Medical - Biomedical and Genetics industry. Currently, this industry has 508 stocks and is ranked #78. Since the beginning of the year, the industry has moved -3.2%.

Investors interested in the Medical sector may want to keep a close eye on Roche Holding AG and argenex SE as they attempt to continue their solid performance.


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