For those looking to find strong Transportation stocks, it is prudent to search for companies in the group that are outperforming their peers. Dorian LPG (LPG) 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.
Dorian LPG is one of 132 individual stocks in the Transportation sector. Collectively, these companies sit at #12 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. Dorian LPG is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for LPG's full-year earnings has moved 125.4% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, LPG has gained about 28.1% so far this year. Meanwhile, the Transportation sector has returned an average of 3.2% on a year-to-date basis. As we can see, Dorian LPG is performing better than its sector in the calendar year.
One other Transportation stock that has outperformed the sector so far this year is Sun Country Airlines Holdings, Inc. (SNCY). The stock is up 15.8% year-to-date.
For Sun Country Airlines Holdings, Inc. the consensus EPS estimate for the current year has increased 8.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Dorian LPG belongs to the Transportation - Shipping industry, which includes 38 individual stocks and currently sits at #112 in the Zacks Industry Rank. On average, this group has gained an average of 0.5% so far this year, meaning that LPG is performing better in terms of year-to-date returns.
Sun Country Airlines Holdings, Inc. however, belongs to the Transportation - Airline industry. Currently, this 29-stock industry is ranked #61. The industry has moved +12% so far this year.
Dorian LPG and Sun Country Airlines Holdings, Inc. could continue their solid performance, so investors interested in Transportation stocks should continue to pay close attention to these stocks.
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