For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Booking Holdings (BKNG) 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 Retail-Wholesale sector should help us answer this question.
Booking Holdings is one of 204 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #12 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. Booking Holdings is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for BKNG's full-year earnings has moved 5% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, BKNG has returned 13.9% so far this year. At the same time, Retail-Wholesale stocks have gained an average of 4%. This shows that Booking Holdings is outperforming its peers so far this year.
Another stock in the Retail-Wholesale sector, Urban Outfitters (URBN), has outperformed the sector so far this year. The stock's year-to-date return is 26.8%.
The consensus estimate for Urban Outfitters' current year EPS has increased 6.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Booking Holdings is a member of the Internet - Commerce industry, which includes 36 individual companies and currently sits at #73 in the Zacks Industry Rank. This group has gained an average of 7.7% so far this year, so BKNG is performing better in this area.
Urban Outfitters, however, belongs to the Retail - Apparel and Shoes industry. Currently, this 40-stock industry is ranked #202. The industry has moved -12.3% so far this year.
Booking Holdings and Urban Outfitters could continue their solid performance, so investors interested in Retail-Wholesale stocks should continue to pay close attention to these stocks.
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
Booking Holdings Inc. (BKNG): Free Stock Analysis Report Urban Outfitters, Inc. (URBN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
