Is Ryder System (R) Outperforming Other Transportation Stocks This Year?

Investors interested in Transportation stocks should always be looking to find the best-performing companies in the group. Ryder (R) 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? By taking a look at the stock's year-to-date performance in comparison to its Transportation peers, we might be able to answer that question.

Ryder is one of 143 individual stocks in the Transportation sector. Collectively, these companies sit at #1 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 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. Ryder is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for R's full-year earnings has moved 7% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, R has gained about 1% so far this year. Meanwhile, stocks in the Transportation group have lost about 5.4% on average. This means that Ryder is outperforming the sector as a whole this year.

Scorpio Tankers (STNG) is another Transportation stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 210.1%.

The consensus estimate for Scorpio Tankers' current year EPS has increased 175.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Ryder belongs to the Transportation - Equipment and Leasing industry, which includes 12 individual stocks and currently sits at #97 in the Zacks Industry Rank. Stocks in this group have lost about 4.8% so far this year, so R is performing better this group in terms of year-to-date returns.

In contrast, Scorpio Tankers falls under the Transportation - Shipping industry. Currently, this industry has 46 stocks and is ranked #45. Since the beginning of the year, the industry has moved +37.6%.

Going forward, investors interested in Transportation stocks should continue to pay close attention to Ryder and Scorpio Tankers as they could maintain their solid performance.


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