Is HealthEquity (HQY) Outperforming Other Medical Stocks This Year?
The Medical group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. HealthEquity (HQY) 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Medical sector should help us answer this question.
HealthEquity is one of 1113 individual stocks in the Medical sector. Collectively, these companies sit at #5 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 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. HealthEquity is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for HQY's full-year earnings has moved 17.4% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, HQY has gained about 7.8% so far this year. At the same time, Medical stocks have lost an average of 3.3%. This means that HealthEquity is performing better than its sector in terms of year-to-date returns.
One other Medical stock that has outperformed the sector so far this year is InMode (INMD). The stock is up 10.6% year-to-date.
Over the past three months, InMode's consensus EPS estimate for the current year has increased 0.8%. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, HealthEquity is a member of the Medical Services industry, which includes 67 individual companies and currently sits at #180 in the Zacks Industry Rank. Stocks in this group have lost about 8.9% so far this year, so HQY is performing better this group in terms of year-to-date returns.
In contrast, InMode falls under the Medical - Products industry. Currently, this industry has 99 stocks and is ranked #94. Since the beginning of the year, the industry has moved -1.7%.
Going forward, investors interested in Medical stocks should continue to pay close attention to HealthEquity and InMode as they could maintain their solid performance.
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HealthEquity, Inc. (HQY) : Free Stock Analysis Report
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