Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Blucora (BCOR) 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 Business Services peers, we might be able to answer that question.
Blucora is a member of our Business Services group, which includes 329 different companies and currently sits at #6 in the Zacks Sector Rank. 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. Blucora is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for BCOR's full-year earnings has moved 3.7% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, BCOR has moved about 29.1% on a year-to-date basis. Meanwhile, stocks in the Business Services group have lost about 16.7% on average. This shows that Blucora is outperforming its peers so far this year.
One other Business Services stock that has outperformed the sector so far this year is MasterCard (MA). The stock is up 0.2% year-to-date.
For MasterCard, the consensus EPS estimate for the current year has increased 1.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Blucora belongs to the Technology Services industry, a group that includes 180 individual stocks and currently sits at #141 in the Zacks Industry Rank. Stocks in this group have lost about 32.4% so far this year, so BCOR is performing better this group in terms of year-to-date returns.
On the other hand, MasterCard belongs to the Financial Transaction Services industry. This 40-stock industry is currently ranked #156. The industry has moved -4.3% year to date.
Blucora and MasterCard 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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