Investors interested in Auto-Tires-Trucks stocks should always be looking to find the best-performing companies in the group. China Automotive Systems (CAAS - 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 CAAS and the rest of the Auto-Tires-Trucks group's stocks.
China Automotive Systems is one of 89 individual stocks in the Auto-Tires-Trucks sector. Collectively, these companies sit at #6 in 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 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. CAAS is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for CAAS's full-year earnings has moved 87.50% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, CAAS has returned 24.18% so far this year. Meanwhile, the Auto-Tires-Trucks sector has returned an average of 20.05% on a year-to-date basis. This means that China Automotive Systems is outperforming the sector as a whole this year.
To break things down more, CAAS belongs to the Automotive - Original Equipment industry, a group that includes 43 individual companies and currently sits at #151 in the Zacks Industry Rank. Stocks in this group have gained about 31.20% so far this year, so CAAS is slightly underperforming its industry this group in terms of year-to-date returns.
Investors in the Auto-Tires-Trucks sector will want to keep a close eye on CAAS as it attempts to continue its solid performance.