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Is Ryanair (RYAAY) Stock Outpacing Its Transportation Peers This Year?

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For those looking to find strong Transportation stocks, it is prudent to search for companies in the group that are outperforming their peers. Ryanair (RYAAY - 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.

Ryanair is a member of our Transportation group, which includes 131 different companies and currently sits at #13 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 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. Ryanair is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for RYAAY's full-year earnings has moved 23.3% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

According to our latest data, RYAAY has moved about 33.2% on a year-to-date basis. Meanwhile, stocks in the Transportation group have gained about 8.6% on average. This shows that Ryanair is outperforming its peers so far this year.

United Airlines (UAL - Free Report) is another Transportation stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 31.7%.

The consensus estimate for United Airlines' current year EPS has increased 21% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Ryanair belongs to the Transportation - Airline industry, a group that includes 30 individual stocks and currently sits at #73 in the Zacks Industry Rank. This group has gained an average of 13.5% so far this year, so RYAAY is performing better in this area. United Airlines is also part of the same industry.

Going forward, investors interested in Transportation stocks should continue to pay close attention to Ryanair and United Airlines as they could maintain their solid performance.


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