If you want to find strong stocks in the medical industry, it would be wise to look for companies within the group that are outperforming their peers. Could Avianna Healthcare (AVAH) be one of those stocks this year? We might be able to answer that question by looking at the company's year-to-date performance compared to its medical peers.
Avianna Healthcare is one of 1,025 individual stocks in the Healthcare sector. Collectively, these companies sit at #3 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed from highest to lowest in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank focuses on earnings estimates and estimate revisions to find stocks with improving earnings prospects. This system has a long track record of success, and these stocks tend to outperform the market over the next 1-3 months. Avianna Healthcare currently sports a Zacks Rank #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for AVAH's full-year earnings has moved 30.4% higher. This means that analyst sentiment is strengthening and the stock's earnings outlook is improving.
Our latest data shows that AVAH has gained about 72.4% on a year-to-date basis. Meanwhile, Medical Group's stock prices rose by an average of about 7%. This shows that Aveanna Healthcare has outperformed its peers so far this year.
Another healthcare stock that has outperformed the sector so far this year is Cardinal Health (CAH). The stock has increased 12.9% since the beginning of the year.
Over the past three months, Cardinal Health's consensus EPS estimate for this year has increased by 0.8%. The stock currently has a Zacks Rank #2 (Buy).
More specifically, Aveanna Healthcare belongs to the Medical – Ambulatory & Home Health industry, which includes 19 individual stocks and currently sits at #17 in the Zacks Industry Rank. This group has returned an average of 15.5% so far this year, with AVAH performing better in this area.
On the other hand, Cardinal Health belongs to the Medical – Dental Supplies industry. This 17-stock industry is currently ranked #176. The industry year-to-date trend is -1.2%.
Looking ahead, investors interested in medical stocks should continue to pay close attention to Avianna Healthcare and Cardinal Health, which have the potential to maintain strong performance.
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Avianna Healthcare Holdings Inc. (AVAH): Free Stock Analysis Report
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Cardinal Health, Inc. (CAH): Free Stock Analysis Report
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