For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Etsy (ETSY) 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.
Etsy is one of 195 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #11 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. Etsy is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for ETSY's full-year earnings has moved 43.3% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that ETSY has returned about 2.2% since the start of the calendar year. Meanwhile, the Retail-Wholesale sector has returned an average of 0.1% on a year-to-date basis. As we can see, Etsy is performing better than its sector in the calendar year.
Another Retail-Wholesale stock, which has outperformed the sector so far this year, is Yum China Holdings (YUMC). The stock has returned 9.7% year-to-date.
The consensus estimate for Yum China Holdings' current year EPS has increased 2.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Etsy belongs to the Internet - Commerce industry, a group that includes 37 individual stocks and currently sits at #149 in the Zacks Industry Rank. This group has lost an average of 7.4% so far this year, so ETSY is performing better in this area.
In contrast, Yum China Holdings falls under the Retail - Restaurants industry. Currently, this industry has 39 stocks and is ranked #191. Since the beginning of the year, the industry has moved +7.9%.
Investors interested in the Retail-Wholesale sector may want to keep a close eye on Etsy and Yum China Holdings as they attempt to continue their solid performance.
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Etsy, Inc. (ETSY): Free Stock Analysis Report Yum China (YUMC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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