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Is Graham (GHM) Outperforming Other Industrial Products Stocks 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 Graham (GHM - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Industrial Products sector should help us answer this question.

Graham is a member of the Industrial Products sector. This group includes 189 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 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. Graham is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for GHM's full-year earnings has moved 20.3% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, GHM has returned 10.1% so far this year. Meanwhile, stocks in the Industrial Products group have gained about 7.5% on average. As we can see, Graham is performing better than its sector in the calendar year.

Another Industrial Products stock, which has outperformed the sector so far this year, is Gates Industrial (GTES - Free Report) . The stock has returned 24.4% year-to-date.

Over the past three months, Gates Industrial's consensus EPS estimate for the current year has increased 5.6%. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Graham is a member of the Manufacturing - General Industrial industry, which includes 41 individual companies and currently sits at #35 in the Zacks Industry Rank. On average, stocks in this group have gained 8.2% this year, meaning that GHM is performing better in terms of year-to-date returns. Gates Industrial is also part of the same industry.

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


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