Has Healthcare Services Group (HCSG) Outpaced Other Business Services Stocks This Year?
Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Is Healthcare Services (HCSG) one of those stocks right now? 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.
Healthcare Services is one of 330 companies in the Business Services group. The Business Services group currently sits at #5 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 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. Healthcare Services is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for HCSG's full-year earnings has moved 36.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, HCSG has returned 1.4% so far this year. In comparison, Business Services companies have returned an average of -26.7%. This means that Healthcare Services is performing better than its sector in terms of year-to-date returns.
Ritchie Bros. (RBA) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 9.8%.
The consensus estimate for Ritchie Bros.'s current year EPS has increased 25.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Healthcare Services belongs to the Business - Services industry, which includes 26 individual stocks and currently sits at #85 in the Zacks Industry Rank. This group has lost an average of 46.2% so far this year, so HCSG is performing better in this area.
On the other hand, Ritchie Bros. belongs to the Auction and Valuation Services industry. This 3-stock industry is currently ranked #3. The industry has moved -19.7% year to date.
Going forward, investors interested in Business Services stocks should continue to pay close attention to Healthcare Services and Ritchie Bros. as they could maintain their solid performance.
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Healthcare Services Group, Inc. (HCSG) : Free Stock Analysis Report
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