For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Dutch Bros (BROS) 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? By taking a look at the stock's year-to-date performance in comparison to its Retail-Wholesale peers, we might be able to answer that question.
Dutch Bros is a member of the Retail-Wholesale sector. This group includes 202 individual stocks and currently holds a Zacks Sector Rank of #13. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. Dutch Bros is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for BROS' full-year earnings has moved 10.4% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, BROS has gained about 20.3% so far this year. Meanwhile, stocks in the Retail-Wholesale group have gained about 8.3% on average. As we can see, Dutch Bros is performing better than its sector in the calendar year.
Another Retail-Wholesale stock, which has outperformed the sector so far this year, is Walmart (WMT). The stock has returned 10.7% year-to-date.
For Walmart, the consensus EPS estimate for the current year has increased 0.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Dutch Bros is a member of the Retail - Restaurants industry, which includes 39 individual companies and currently sits at #191 in the Zacks Industry Rank. Stocks in this group have lost about 2.8% so far this year, so BROS is performing better this group in terms of year-to-date returns.
On the other hand, Walmart belongs to the Retail - Supermarkets industry. This 9-stock industry is currently ranked #182. The industry has moved +11.1% year to date.
Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to Dutch Bros and Walmart as they could maintain their solid performance.
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Dutch Bros Inc. (BROS): Free Stock Analysis Report Walmart Inc. (WMT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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