Are Consumer Discretionary Stocks Lagging Life Time Group Holdings (LTH) This Year?

For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. Life Time Group Holdings, Inc. (LTH) 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.

Life Time Group Holdings, Inc. is a member of our Consumer Discretionary group, which includes 265 different companies and currently sits at #12 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Life Time Group Holdings, Inc. is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for LTH's full-year earnings has moved 4.5% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, LTH has gained about 17.3% so far this year. In comparison, Consumer Discretionary companies have returned an average of 2.8%. As we can see, Life Time Group Holdings, Inc. is performing better than its sector in the calendar year.

Interface (TILE) is another Consumer Discretionary stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 16.7%.

For Interface, the consensus EPS estimate for the current year has increased 8.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Life Time Group Holdings, Inc. belongs to the Leisure and Recreation Services industry, which includes 28 individual stocks and currently sits at #78 in the Zacks Industry Rank. This group has gained an average of 3.1% so far this year, so LTH is performing better in this area.

Interface, however, belongs to the Textile - Home Furnishing industry. Currently, this 4-stock industry is ranked #18. The industry has moved -5% so far this year.

Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to Life Time Group Holdings, Inc. and Interface as they could maintain their solid performance.

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This article originally published on Zacks Investment Research (zacks.com).

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