For those looking to find strong Auto-Tires-Trucks stocks, it is prudent to search for companies in the group that are outperforming their peers. Dorman Products (DORM) 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 Auto-Tires-Trucks sector should help us answer this question.
Dorman Products is a member of the Auto-Tires-Trucks sector. This group includes 100 individual stocks and currently holds a Zacks Sector Rank of #10. 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 is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Dorman Products is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for DORM's full-year earnings has moved 3.2% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that DORM has returned about 1.3% since the start of the calendar year. Meanwhile, stocks in the Auto-Tires-Trucks group have lost about 18.8% on average. This means that Dorman Products is outperforming the sector as a whole this year.
Strattec Security (STRT) is another Auto-Tires-Trucks stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 15.2%.
The consensus estimate for Strattec Security's current year EPS has increased 33% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Dorman Products belongs to the Automotive - Replacement Parts industry, a group that includes 6 individual stocks and currently sits at #55 in the Zacks Industry Rank. This group has gained an average of 6% so far this year, so DORM is slightly underperforming its industry in this area.
On the other hand, Strattec Security belongs to the Automotive - Original Equipment industry. This 50-stock industry is currently ranked #153. The industry has moved -1.6% year to date.
Dorman Products and Strattec Security could continue their solid performance, so investors interested in Auto-Tires-Trucks stocks should continue to pay close attention to these stocks.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Dorman Products, Inc. (DORM) : Free Stock Analysis Report
Strattec Security Corporation (STRT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.