The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Clean Harbors (CLH) 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.
Clean Harbors is a member of the Business Services sector. This group includes 327 individual stocks and currently holds a Zacks Sector Rank of #7. 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. Clean Harbors is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for CLH's full-year earnings has moved 47.2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, CLH has moved about 20.1% on a year-to-date basis. Meanwhile, the Business Services sector has returned an average of -25.1% on a year-to-date basis. This means that Clean Harbors is outperforming the sector as a whole this year.
One other Business Services stock that has outperformed the sector so far this year is PureCycle Technologies, Inc. (PCT). The stock is up 5.2% year-to-date.
In PureCycle Technologies, Inc.'s case, the consensus EPS estimate for the current year increased 23.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Clean Harbors is a member of the Waste Removal Services industry, which includes 16 individual companies and currently sits at #48 in the Zacks Industry Rank. On average, this group has lost an average of 4% so far this year, meaning that CLH is performing better in terms of year-to-date returns.
In contrast, PureCycle Technologies, Inc. falls under the Technology Services industry. Currently, this industry has 178 stocks and is ranked #144. Since the beginning of the year, the industry has moved -42.3%.
Investors interested in the Business Services sector may want to keep a close eye on Clean Harbors and PureCycle Technologies, Inc. as they attempt to continue their solid performance.
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