Yahoo Finance Are Business Services Stocks Lagging Cap Gemini (CGEMY) This Year?
The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Cap Gemini SA (CGEMY) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Cap Gemini SA is a member of our Business Services group, which includes 314 different companies and currently sits at #8 in 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. Cap Gemini SA is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for CGEMY's full-year earnings has moved 3% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, CGEMY has returned 5.2% so far this year. Meanwhile, the Business Services sector has returned an average of 4.6% on a year-to-date basis. This shows that Cap Gemini SA is outperforming its peers so far this year.
ICF International (ICFI) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 5.9%.
For ICF International, the consensus EPS estimate for the current year has increased 0.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Cap Gemini SA belongs to the Outsourcing industry, which includes 12 individual stocks and currently sits at #159 in the Zacks Industry Rank. On average, stocks in this group have gained 3.4% this year, meaning that CGEMY is performing better in terms of year-to-date returns.
In contrast, ICF International falls under the Government Services industry. Currently, this industry has 3 stocks and is ranked #2. Since the beginning of the year, the industry has moved +8.7%.
Cap Gemini SA and ICF International could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks.
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