For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Banzai International, Inc. (BNZI) 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.
Banzai International, Inc. is a member of our Business Services group, which includes 238 different companies and currently sits at #12 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Banzai International, Inc. is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for BNZI's full-year earnings has moved 45.2% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that BNZI has returned about 25.3% since the start of the calendar year. Meanwhile, the Business Services sector has returned an average of -9.5% on a year-to-date basis. This means that Banzai International, Inc. is performing better than its sector in terms of year-to-date returns.
Another Business Services stock, which has outperformed the sector so far this year, is Richtech (RR). The stock has returned 35.3% year-to-date.
The consensus estimate for Richtech's current year EPS has increased 20% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Banzai International, Inc. is a member of the Advertising and Marketing industry, which includes 16 individual companies and currently sits at #97 in the Zacks Industry Rank. This group has lost an average of 16.7% so far this year, so BNZI is performing better in this area.
In contrast, Richtech falls under the Technology Services industry. Currently, this industry has 110 stocks and is ranked #169. Since the beginning of the year, the industry has moved +14.6%.
Banzai International, Inc. and Richtech 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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Banzai International, Inc. (BNZI): Free Stock Analysis Report Richtech Robotics Inc. (RR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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