For those looking to find strong Aerospace stocks, it is prudent to search for companies in the group that are outperforming their peers. Teledyne Technologies (TDY - 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? One simple way to answer this question is to take a look at the year-to-date performance of TDY and the rest of the Aerospace group's stocks.
Teledyne Technologies is a member of the Aerospace sector. This group includes 37 individual stocks and currently holds a Zacks Sector Rank of #1. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. TDY is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for TDY's full-year earnings has moved 2.15% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that TDY has returned about 20.76% since the start of the calendar year. At the same time, Aerospace stocks have gained an average of 20.47%. This shows that Teledyne Technologies is outperforming its peers so far this year.
Looking more specifically, TDY belongs to the Aerospace - Defense Equipment industry, a group that includes 21 individual stocks and currently sits at #48 in the Zacks Industry Rank. Stocks in this group have gained about 24.05% so far this year, so TDY is slightly underperforming its industry this group in terms of year-to-date returns.
TDY will likely be looking to continue its solid performance, so investors interested in Aerospace stocks should continue to pay close attention to the company.