Is Accolade (ACCD) Stock Outpacing Its Business Services Peers This Year?
The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Accolade (ACCD) been one of those stocks this year? 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.
Accolade is a member of the Business Services sector. This group includes 318 individual stocks and currently holds a Zacks Sector Rank of #5. 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. Accolade is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ACCD's full-year earnings has moved 8.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, ACCD has gained about 17.3% so far this year. In comparison, Business Services companies have returned an average of 17.1%. This shows that Accolade is outperforming its peers so far this year.
One other Business Services stock that has outperformed the sector so far this year is Adecco SA (AHEXY). The stock is up 45.4% year-to-date.
The consensus estimate for Adecco SA's current year EPS has increased 4.1% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Accolade belongs to the Technology Services industry, a group that includes 176 individual companies and currently sits at #87 in the Zacks Industry Rank. This group has gained an average of 40.8% so far this year, so ACCD is slightly underperforming its industry in this area.
In contrast, Adecco SA falls under the Outsourcing industry. Currently, this industry has 13 stocks and is ranked #13. Since the beginning of the year, the industry has moved +6.6%.
Accolade and Adecco SA 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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