Investors focused on the Retail-Wholesale space have likely heard of Costco Wholesale (COST), but is the stock performing well in comparison to the rest of its sector peers? One simple way to answer this question is to take a look at the year-to-date performance of COST and the rest of the Retail-Wholesale group's stocks.
Costco Wholesale is one of 225 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #6 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. COST is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for COST's full-year earnings has moved 1.13% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, COST has moved about 44.03% on a year-to-date basis. Meanwhile, stocks in the Retail-Wholesale group have gained about 17.25% on average. This means that Costco Wholesale is outperforming the sector as a whole this year.
Breaking things down more, COST is a member of the Retail - Discount Stores industry, which includes 10 individual companies and currently sits at #14 in the Zacks Industry Rank. On average, stocks in this group have gained 39.96% this year, meaning that COST is performing better in terms of year-to-date returns.
Investors in the Retail-Wholesale sector will want to keep a close eye on COST as it attempts to continue its solid performance.
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