Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Is Deluxe (DLX) one of those stocks right now? 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.
Deluxe is a member of the Business Services sector. This group includes 237 individual stocks and currently holds a Zacks Sector Rank of #14. 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. Deluxe is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for DLX's full-year earnings has moved 8.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, DLX has gained about 24.5% so far this year. Meanwhile, the Business Services sector has returned an average of -5.5% on a year-to-date basis. This means that Deluxe is outperforming the sector as a whole this year.
Exponent (EXPO) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 14.9%.
For Exponent, the consensus EPS estimate for the current year has increased 1.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Deluxe belongs to the Business - Office Products industry, which includes 2 individual stocks and currently sits at #5 in the Zacks Industry Rank. Stocks in this group have gained about 24.7% so far this year, so DLX is slightly underperforming its industry this group in terms of year-to-date returns.
Exponent, however, belongs to the Consulting Services industry. Currently, this 13-stock industry is ranked #82. The industry has moved -10.1% so far this year.
Investors interested in the Business Services sector may want to keep a close eye on Deluxe and Exponent as they attempt to continue their solid performance.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Deluxe Corporation (DLX): Free Stock Analysis Report Exponent, Inc. (EXPO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
