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Are Transportation Stocks Lagging Despegar.com (DESP) This Year?

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Investors interested in Transportation stocks should always be looking to find the best-performing companies in the group. Is Despegar.com (DESP - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Despegar.com is a member of the Transportation sector. This group includes 135 individual stocks and currently holds a Zacks Sector Rank of #15. 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. Despegar.com is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for DESP's full-year earnings has moved 12.1% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the latest available data, DESP has gained about 29.1% so far this year. Meanwhile, stocks in the Transportation group have lost about 4.9% on average. As we can see, Despegar.com is performing better than its sector in the calendar year.

SkyWest (SKYW - 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 59.3%.

Over the past three months, SkyWest's consensus EPS estimate for the current year has increased 5.9%. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Despegar.com belongs to the Transportation - Services industry, a group that includes 27 individual companies and currently sits at #172 in the Zacks Industry Rank. On average, this group has lost an average of 9.4% so far this year, meaning that DESP is performing better in terms of year-to-date returns.

On the other hand, SkyWest belongs to the Transportation - Airline industry. This 31-stock industry is currently ranked #230. The industry has moved +8.3% year to date.

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


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