Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Barrett Business Services (BBSI) 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Business Services sector should help us answer this question.
Barrett Business Services is a member of the Business Services sector. This group includes 327 individual stocks and currently holds a Zacks Sector Rank of #8. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. Barrett Business Services is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for BBSI's full-year earnings has moved 3.7% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, BBSI has gained about 13.2% so far this year. In comparison, Business Services companies have returned an average of -31.5%. This means that Barrett Business Services is performing better than its sector in terms of year-to-date returns.
ExlService Holdings (EXLS) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 2.4%.
In ExlService Holdings' case, the consensus EPS estimate for the current year increased 2.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Barrett Business Services belongs to the Outsourcing industry, a group that includes 14 individual companies and currently sits at #33 in the Zacks Industry Rank. Stocks in this group have lost about 9.9% so far this year, so BBSI is performing better this group in terms of year-to-date returns. ExlService Holdings is also part of the same industry.
Barrett Business Services and ExlService Holdings 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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Barrett Business Services, Inc. (BBSI) : Free Stock Analysis Report
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