Is MTU Aero Engines (MTUAY) Outperforming Other Aerospace Stocks This Year?

The Aerospace group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. MTU Aero Engines AG (MTUAY) 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 Aerospace sector should help us answer this question.

MTU Aero Engines AG is a member of our Aerospace group, which includes 47 different companies and currently sits at #9 in 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 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. MTU Aero Engines AG is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for MTUAY's full-year earnings has moved 1.5% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, MTUAY has moved about 16.2% on a year-to-date basis. Meanwhile, stocks in the Aerospace group have gained about 0.4% on average. This means that MTU Aero Engines AG is outperforming the sector as a whole this year.

Another stock in the Aerospace sector, Rolls-Royce Holdings PLC (RYCEY), has outperformed the sector so far this year. The stock's year-to-date return is 40%.

The consensus estimate for Rolls-Royce Holdings PLC's current year EPS has increased 25% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, MTU Aero Engines AG is a member of the Aerospace - Defense industry, which includes 25 individual companies and currently sits at #145 in the Zacks Industry Rank. Stocks in this group have lost about 2.3% so far this year, so MTUAY is performing better this group in terms of year-to-date returns.

On the other hand, Rolls-Royce Holdings PLC belongs to the Aerospace - Defense Equipment industry. This 21-stock industry is currently ranked #91. The industry has moved +9.4% year to date.

Going forward, investors interested in Aerospace stocks should continue to pay close attention to MTU Aero Engines AG and Rolls-Royce Holdings PLC as they could maintain their solid performance.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

MTU Aero Engines AG (MTUAY) : Free Stock Analysis Report

Rolls-Royce Holdings PLC (RYCEY) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.