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Is ResMed (RMD) Stock Outpacing Its Medical Peers This Year?

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For those looking to find strong Medical stocks, it is prudent to search for companies in the group that are outperforming their peers. ResMed (RMD - 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 RMD and the rest of the Medical group's stocks.

ResMed is a member of our Medical group, which includes 894 different companies and currently sits at #1 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. RMD is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for RMD's full-year earnings has moved 0.82% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, RMD has returned 5.03% so far this year. At the same time, Medical stocks have lost an average of 1.49%. As we can see, ResMed is performing better than its sector in the calendar year.

Looking more specifically, RMD belongs to the Medical - Products industry, which includes 82 individual stocks and currently sits at #27 in the Zacks Industry Rank. On average, stocks in this group have lost 4.68% this year, meaning that RMD is performing better in terms of year-to-date returns.

RMD will likely be looking to continue its solid performance, so investors interested in Medical stocks should continue to pay close attention to the company.


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