Is Copart (CPRT) Stock Outpacing Its Business Services Peers This Year?
For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Copart, Inc. (CPRT) been one of those stocks this year? 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.
Copart, Inc. is one of 316 individual stocks in the Business Services sector. Collectively, these companies sit 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Copart, Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for CPRT's full-year earnings has moved 7.6% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, CPRT has moved about 65% on a year-to-date basis. Meanwhile, the Business Services sector has returned an average of 15.2% on a year-to-date basis. As we can see, Copart, Inc. is performing better than its sector in the calendar year.
Another stock in the Business Services sector, Direct Digital Holdings, Inc. (DRCT), has outperformed the sector so far this year. The stock's year-to-date return is 399%.
Over the past three months, Direct Digital Holdings, Inc.'s consensus EPS estimate for the current year has increased 525%. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Copart, Inc. belongs to the Auction and Valuation Services industry, a group that includes 2 individual stocks and currently sits at #1 in the Zacks Industry Rank. On average, stocks in this group have gained 61.6% this year, meaning that CPRT is performing better in terms of year-to-date returns.
In contrast, Direct Digital Holdings, Inc. falls under the Advertising and Marketing industry. Currently, this industry has 15 stocks and is ranked #147. Since the beginning of the year, the industry has moved -6.3%.
Copart, Inc. and Direct Digital Holdings, Inc. 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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