Has Shake Shack (SHAK) Outpaced Other Retail-Wholesale Stocks This Year?
The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Shake Shack (SHAK) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Retail-Wholesale peers, we might be able to answer that question.
Shake Shack is one of 220 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #8 within 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. Shake Shack is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for SHAK's full-year earnings has moved 30.4% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, SHAK has gained about 82.9% so far this year. At the same time, Retail-Wholesale stocks have gained an average of 28.3%. This means that Shake Shack is outperforming the sector as a whole this year.
Carrols Restaurant Group (TAST) is another Retail-Wholesale stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 473.5%.
The consensus estimate for Carrols Restaurant Group's current year EPS has increased 29.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Shake Shack is a member of the Retail - Restaurants industry, which includes 41 individual companies and currently sits at #56 in the Zacks Industry Rank. On average, stocks in this group have gained 11.6% this year, meaning that SHAK is performing better in terms of year-to-date returns. Carrols Restaurant Group is also part of the same industry.
Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to Shake Shack and Carrols Restaurant Group as they could maintain their solid performance.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Shake Shack, Inc. (SHAK) : Free Stock Analysis Report
Carrols Restaurant Group, Inc. (TAST) : Free Stock Analysis Report
