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For those looking to find strong Industrial Products stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Allegion (ALLE) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Allegion is one of 218 individual stocks in the Industrial Products sector. Collectively, these companies sit at #13 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 is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Allegion is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for ALLE's full-year earnings has moved 2.5% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, ALLE has gained about 8.7% so far this year. In comparison, Industrial Products companies have returned an average of 8.2%. This shows that Allegion is outperforming its peers so far this year.
GEA Group AG (GEAGF) is another Industrial Products stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 16.7%.
In GEA Group AG's case, the consensus EPS estimate for the current year increased 10.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Allegion is a member of the Security and Safety Services industry, which includes 20 individual companies and currently sits at #83 in the Zacks Industry Rank. Stocks in this group have gained about 19.3% so far this year, so ALLE is slightly underperforming its industry this group in terms of year-to-date returns.
On the other hand, GEA Group AG belongs to the Manufacturing - General Industrial industry. This 44-stock industry is currently ranked #181. The industry has moved +8.6% year to date.
Allegion and GEA Group AG could continue their solid performance, so investors interested in Industrial Products stocks should continue to pay close attention to these stocks.
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