For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. OppFi Inc. (OPFI) 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 Business Services peers, we might be able to answer that question.
OppFi Inc. is a member of the Business Services sector. This group includes 257 individual stocks and currently holds a Zacks Sector Rank of #7. 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 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. OppFi Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for OPFI's full-year earnings has moved 10.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, OPFI has moved about 43.9% on a year-to-date basis. In comparison, Business Services companies have returned an average of -6.5%. This shows that OppFi Inc. is outperforming its peers so far this year.
Veralto (VLTO) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 0.8%.
In Veralto's case, the consensus EPS estimate for the current year increased 1.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, OppFi Inc. belongs to the Financial Transaction Services industry, a group that includes 34 individual stocks and currently sits at #165 in the Zacks Industry Rank. This group has lost an average of 7.2% so far this year, so OPFI is performing better in this area.
On the other hand, Veralto belongs to the Waste Removal Services industry. This 22-stock industry is currently ranked #101. The industry has moved +1.8% year to date.
Going forward, investors interested in Business Services stocks should continue to pay close attention to OppFi Inc. and Veralto as they could maintain their solid performance.
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OppFi Inc. (OPFI): Free Stock Analysis Report Veralto Corporation (VLTO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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