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Is Leonardo DRS, Inc. (DRS) Stock Outpacing Its Aerospace Peers This Year?

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Investors interested in Aerospace stocks should always be looking to find the best-performing companies in the group. Leonardo DRS, Inc. (DRS - 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.

Leonardo DRS, Inc. is one of 46 companies in the Aerospace group. The Aerospace group currently sits at #2 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 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. Leonardo DRS, Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for DRS' full-year earnings has moved 5.9% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

According to our latest data, DRS has moved about 40.5% on a year-to-date basis. At the same time, Aerospace stocks have gained an average of 2.3%. This means that Leonardo DRS, Inc. is performing better than its sector in terms of year-to-date returns.

One other Aerospace stock that has outperformed the sector so far this year is MTU Aero Engines AG (MTUAY - Free Report) . The stock is up 53.7% year-to-date.

In MTU Aero Engines AG's case, the consensus EPS estimate for the current year increased 7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Leonardo DRS, Inc. belongs to the Aerospace - Defense Equipment industry, a group that includes 23 individual companies and currently sits at #83 in the Zacks Industry Rank. On average, this group has gained an average of 28% so far this year, meaning that DRS is performing better in terms of year-to-date returns.

On the other hand, MTU Aero Engines AG belongs to the Aerospace - Defense industry. This 22-stock industry is currently ranked #63. The industry has moved -5.3% year to date.

Going forward, investors interested in Aerospace stocks should continue to pay close attention to Leonardo DRS, Inc. and MTU Aero Engines AG as they could maintain their solid performance.


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