Is Bowlero (BOWL) Outperforming Other Consumer Discretionary Stocks This Year?
Investors interested in Consumer Discretionary stocks should always be looking to find the best-performing companies in the group. Bowlero Corp. (BOWL) 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? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question.
Bowlero Corp. is a member of the Consumer Discretionary sector. This group includes 284 individual stocks and currently holds a Zacks Sector Rank of #10. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. Bowlero Corp. is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for BOWL's full-year earnings has moved 53.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, BOWL has gained about 21.8% so far this year. In comparison, Consumer Discretionary companies have returned an average of -27.6%. As we can see, Bowlero Corp. is performing better than its sector in the calendar year.
Another stock in the Consumer Discretionary sector, Delta Apparel (DLA), has outperformed the sector so far this year. The stock's year-to-date return is 1%.
In Delta Apparel's case, the consensus EPS estimate for the current year increased 22.5% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Bowlero Corp. is a member of the Leisure and Recreation Services industry, which includes 33 individual companies and currently sits at #147 in the Zacks Industry Rank. This group has lost an average of 28.7% so far this year, so BOWL is performing better in this area.
On the other hand, Delta Apparel belongs to the Textile - Apparel industry. This 20-stock industry is currently ranked #152. The industry has moved -28.5% year to date.
Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to Bowlero Corp. and Delta Apparel as they could maintain their solid performance.
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