For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Alibaba Group Holding (BABA) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Alibaba Group Holding is a member of the Retail-Wholesale sector. This group includes 225 individual stocks and currently holds a Zacks Sector Rank of #6. 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. BABA is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for BABA's full-year earnings has moved 14.04% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, BABA has gained about 18.14% so far this year. Meanwhile, the Retail-Wholesale sector has returned an average of 15.66% on a year-to-date basis. This shows that Alibaba Group Holding is outperforming its peers so far this year.
Breaking things down more, BABA is a member of the Internet - Commerce industry, which includes 30 individual companies and currently sits at #87 in the Zacks Industry Rank. Stocks in this group have gained about 12.24% so far this year, so BABA is performing better this group in terms of year-to-date returns.
Investors in the Retail-Wholesale sector will want to keep a close eye on BABA as it attempts to continue its solid performance.
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