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Is Electronic Arts (EA) Stock Outpacing Its Consumer Discretionary Peers This Year?

Zacks Equity Research
In the latest trading session, McDonald's (MCD) closed at $203.92, marking a -0.17% move from the previous day.

Investors focused on the Consumer Discretionary space have likely heard of Electronic Arts (EA), but is the stock performing well in comparison to the rest of its sector peers? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Discretionary sector should help us answer this question.

Electronic Arts is a member of the Consumer Discretionary sector. This group includes 244 individual stocks and currently holds a Zacks Sector Rank of #7. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. EA is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for EA's full-year earnings has moved 9.70% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, EA has gained about 19.84% so far this year. Meanwhile, stocks in the Consumer Discretionary group have gained about 17.67% on average. This shows that Electronic Arts is outperforming its peers so far this year.

Looking more specifically, EA belongs to the Toys - Games - Hobbies industry, which includes 8 individual stocks and currently sits at #45 in the Zacks Industry Rank. On average, stocks in this group have gained 7.02% this year, meaning that EA is performing better in terms of year-to-date returns.

Investors with an interest in Consumer Discretionary stocks should continue to track EA. The stock will be looking to continue its solid performance.


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