The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Chewy (CHWY) 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.
Chewy is one of 210 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #7 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 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. Chewy is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for CHWY's full-year earnings has moved 39.1% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, CHWY has returned 46.5% so far this year. In comparison, Retail-Wholesale companies have returned an average of 27.8%. This shows that Chewy is outperforming its peers so far this year.
One other Retail-Wholesale stock that has outperformed the sector so far this year is Petco Health & Wellness (WOOF). The stock is up 33.9% year-to-date.
Over the past three months, Petco Health & Wellness' consensus EPS estimate for the current year has increased 4.1%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Chewy belongs to the Internet - Commerce industry, which includes 39 individual stocks and currently sits at #74 in the Zacks Industry Rank. On average, stocks in this group have gained 32.1% this year, meaning that CHWY is performing better in terms of year-to-date returns.
In contrast, Petco Health & Wellness falls under the Retail - Miscellaneous industry. Currently, this industry has 17 stocks and is ranked #163. Since the beginning of the year, the industry has moved -2.3%.
Chewy and Petco Health & Wellness could continue their solid performance, so investors interested in Retail-Wholesale stocks should continue to pay close attention to these stocks.
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Chewy (CHWY) : Free Stock Analysis Report
Petco Health and Wellness Company, Inc. (WOOF) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
