Investors focused on the Consumer Discretionary space have likely heard of lululemon athletica (LULU), but is the stock performing well in comparison to the rest of its sector peers? 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.
lululemon athletica is one of 243 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #13 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. LULU is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for LULU's full-year earnings has moved 2.73% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, LULU has returned 48.19% so far this year. Meanwhile, stocks in the Consumer Discretionary group have gained about 20.90% on average. This means that lululemon athletica is outperforming the sector as a whole this year.
Looking more specifically, LULU belongs to the Textile - Apparel industry, which includes 21 individual stocks and currently sits at #183 in the Zacks Industry Rank. This group has gained an average of 26.65% so far this year, so LULU is performing better in this area.
LULU will likely be looking to continue its solid performance, so investors interested in Consumer Discretionary stocks should continue to pay close attention to the company.
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