Is Atlas Air Worldwide Holdings (AAWW) outperforming other transportation stocks this year? – August 25, 2022


Investors interested in transportation stocks should always look for the best performing companies in the group. Atlas Air Worldwide (AAWW Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to those of the sector as a whole? Looking at the stock’s year-to-date performance against its transportation peers, we might be able to answer that question.

Atlas Air Worldwide is a member of our transportation group, which includes 143 different companies and currently holds the top spot in the Zacks industry rankings. The Zacks Sector Ranking takes into account 16 different groups, measuring the average Zacks Ranking of individual stocks within the sector to gauge the strength of each group.

The Zacks Ranking 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 revisions to earnings estimates and favors companies with improving earnings prospects. Atlas Air Worldwide currently has a Zacks rating of #2 (buy).

The Zacks consensus estimate for AAWW’s full-year earnings rose 0.2% in the latest quarter. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.

Based on the latest available data, AAWW has gained around 6.2% so far this year. At the same time, transportation stocks lost an average of 9.1%. This shows that Atlas Air Worldwide is outperforming its peers so far this year.

Another value in the Transport sector, Air Transport Services (ATSG Free Report), has outperformed the sector so far this year. The return on the share since the beginning of the year is 4.4%.

The current-year EPS consensus estimate for airline services has risen 7% over the past three months. The stock currently has a Zacks rank #2 (buy).

To break it down further, Atlas Air Worldwide belongs to the Transportation Industry – Air Cargo and Freight, a group that comprises 5 individual companies and is currently ranked 20th in the Zacks Industry Rankings. On average, this group has lost an average of 7.1% so far this year, meaning AAWW is doing better in terms of returns year-to-date. Air transport services are also part of the same industry.

Atlas Air Worldwide and Air Transport Services may continue their strong performance, so investors interested in transport stocks should continue to pay close attention to these stocks.

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