Has FirstCash (FCFS) Outpaced Other Business Services Stocks This Year?
The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. FirstCash Holdings (FCFS) 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? Let's take a closer look at the stock's year-to-date performance to find out.
FirstCash Holdings is one of 316 individual stocks in the Business Services sector. Collectively, these companies sit at #3 in 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 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. FirstCash Holdings is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for FCFS' full-year earnings has moved 6.3% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, FCFS has returned 27.7% so far this year. Meanwhile, the Business Services sector has returned an average of 12.1% on a year-to-date basis. This shows that FirstCash Holdings is outperforming its peers so far this year.
Another Business Services stock, which has outperformed the sector so far this year, is Palantir Technologies Inc. (PLTR). The stock has returned 210.6% year-to-date.
In Palantir Technologies Inc.'s case, the consensus EPS estimate for the current year increased 42.6% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, FirstCash Holdings belongs to the Financial Transaction Services industry, which includes 38 individual stocks and currently sits at #160 in the Zacks Industry Rank. On average, stocks in this group have gained 13% this year, meaning that FCFS is performing better in terms of year-to-date returns.
Palantir Technologies Inc. however, belongs to the Technology Services industry. Currently, this 176-stock industry is ranked #78. The industry has moved +33.2% so far this year.
FirstCash Holdings and Palantir Technologies 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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FirstCash Holdings, Inc. (FCFS) : Free Stock Analysis Report
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