For those looking to find strong Transportation stocks, it is prudent to search for companies in the group that are outperforming their peers. CSX (CSX - 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Transportation sector should help us answer this question.
CSX is one of 153 individual stocks in the Transportation sector. Collectively, these companies sit at #12 in the Zacks Sector Rank. 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. CSX is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for CSX's full-year earnings has moved 2.86% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, CSX has gained about 26.51% so far this year. Meanwhile, stocks in the Transportation group have gained about 12.52% on average. As we can see, CSX is performing better than its sector in the calendar year.
Looking more specifically, CSX belongs to the Transportation - Rail industry, a group that includes 10 individual stocks and currently sits at #85 in the Zacks Industry Rank. On average, stocks in this group have gained 26.22% this year, meaning that CSX is performing better in terms of year-to-date returns.
Going forward, investors interested in Transportation stocks should continue to pay close attention to CSX as it looks to continue its solid performance.