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Is JAKKS Pacific (JAKK) Stock Outpacing Its Consumer Discretionary Peers This Year?

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The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Jakks Pacific (JAKK) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Discretionary sector should help us answer this question.

Jakks Pacific is one of 284 individual stocks in the Consumer Discretionary sector. Collectively, these companies sit at #11 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. Jakks Pacific is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for JAKK's full-year earnings has moved 2% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, JAKK has moved about 19.8% on a year-to-date basis. Meanwhile, stocks in the Consumer Discretionary group have lost about 31% on average. This means that Jakks Pacific is performing better than its sector in terms of year-to-date returns.

Another Consumer Discretionary stock, which has outperformed the sector so far this year, is K12 (LRN). The stock has returned 11.8% year-to-date.

For K12, the consensus EPS estimate for the current year has increased 5.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Jakks Pacific belongs to the Toys - Games - Hobbies industry, which includes 7 individual stocks and currently sits at #96 in the Zacks Industry Rank. This group has gained an average of 0.6% so far this year, so JAKK is performing better in this area.

In contrast, K12 falls under the Schools industry. Currently, this industry has 18 stocks and is ranked #96. Since the beginning of the year, the industry has moved -16.9%.

Investors with an interest in Consumer Discretionary stocks should continue to track Jakks Pacific and K12. These stocks will be looking to continue their solid performance.


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