For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Dave Inc. (DAVE) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Business Services sector should help us answer this question.
Dave Inc. is a member of our Business Services group, which includes 259 different companies and currently sits at #5 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Dave Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for DAVE's full-year earnings has moved 69.7% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, DAVE has gained about 133% so far this year. At the same time, Business Services stocks have gained an average of 0.8%. This means that Dave Inc. is outperforming the sector as a whole this year.
One other Business Services stock that has outperformed the sector so far this year is Coherent (COHR). The stock is up 1.4% year-to-date.
The consensus estimate for Coherent's current year EPS has increased 3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Dave Inc. belongs to the Technology Services industry, a group that includes 122 individual stocks and currently sits at #74 in the Zacks Industry Rank. On average, this group has gained an average of 9.6% so far this year, meaning that DAVE is performing better in terms of year-to-date returns. Coherent is also part of the same industry.
Dave Inc. and Coherent could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks.
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Dave Inc. (DAVE): Free Stock Analysis Report Coherent Corp. (COHR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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