Is Intercontinental Hotels Group (IHG) Outperforming Other Consumer Discretionary Stocks This Year?
For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. InterContinental Hotels (IHG) 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? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question.
InterContinental Hotels is a member of our Consumer Discretionary group, which includes 281 different companies and currently sits at #12 in the Zacks Sector Rank. 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 proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. InterContinental Hotels is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for IHG's full-year earnings has moved 0.6% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, IHG has moved about 35.2% on a year-to-date basis. In comparison, Consumer Discretionary companies have returned an average of 12%. This means that InterContinental Hotels is performing better than its sector in terms of year-to-date returns.
One other Consumer Discretionary stock that has outperformed the sector so far this year is Light & Wonder (LNW). The stock is up 49.1% year-to-date.
Over the past three months, Light & Wonder's consensus EPS estimate for the current year has increased 86.2%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, InterContinental Hotels belongs to the Hotels and Motels industry, a group that includes 14 individual stocks and currently sits at #60 in the Zacks Industry Rank. Stocks in this group have gained about 24.2% so far this year, so IHG is performing better this group in terms of year-to-date returns.
Light & Wonder, however, belongs to the Gaming industry. Currently, this 39-stock industry is ranked #84. The industry has moved +23.7% so far this year.
Investors with an interest in Consumer Discretionary stocks should continue to track InterContinental Hotels and Light & Wonder. These stocks will be looking to continue their solid performance.
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Intercontinental Hotels Group (IHG) : Free Stock Analysis Report
Light & Wonder, Inc. (LNW) : Free Stock Analysis Report
