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Has FedEx (FDX) Outpaced Other Transportation Stocks This Year?

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The Transportation group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. FedEx (FDX - 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? Let's take a closer look at the stock's year-to-date performance to find out.

FedEx is one of 132 companies in the Transportation group. The Transportation group currently sits at #15 within 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 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. FedEx is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for FDX's full-year earnings has moved 4.8% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

According to our latest data, FDX has moved about 39.5% on a year-to-date basis. In comparison, Transportation companies have returned an average of -1.2%. As we can see, FedEx is performing better than its sector in the calendar year.

Ryder (R - 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 17.2%.

For Ryder, the consensus EPS estimate for the current year has increased 3.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, FedEx belongs to the Transportation - Air Freight and Cargo industry, a group that includes 4 individual stocks and currently sits at #23 in the Zacks Industry Rank. On average, stocks in this group have gained 1.1% this year, meaning that FDX is performing better in terms of year-to-date returns.

In contrast, Ryder falls under the Transportation - Equipment and Leasing industry. Currently, this industry has 10 stocks and is ranked #32. Since the beginning of the year, the industry has moved +0.2%.

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


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