The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Veritone, Inc. (VERI) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Veritone, Inc. is a member of our Business Services group, which includes 260 different companies and currently sits at #6 in the Zacks Sector Rank. 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. Veritone, Inc. is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for VERI's full-year earnings has moved 11.5% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, VERI has moved about 87.2% on a year-to-date basis. Meanwhile, stocks in the Business Services group have lost about 6.2% on average. As we can see, Veritone, Inc. is performing better than its sector in the calendar year.
One other Business Services stock that has outperformed the sector so far this year is Xylem (XYL). The stock is up 27.3% year-to-date.
In Xylem's case, the consensus EPS estimate for the current year increased 4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Veritone, Inc. is a member of the Technology Services industry, which includes 125 individual companies and currently sits at #59 in the Zacks Industry Rank. This group has gained an average of 36.3% so far this year, so VERI is performing better in this area.
In contrast, Xylem falls under the Waste Removal Services industry. Currently, this industry has 22 stocks and is ranked #157. Since the beginning of the year, the industry has moved +7%.
Veritone, Inc. and Xylem 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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Veritone, Inc. (VERI): Free Stock Analysis Report Xylem Inc. (XYL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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