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Has ABM Industries (ABM) Outpaced Other Business Services Stocks This Year?

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Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Has ABM Industries (ABM - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

ABM Industries is a member of the Business Services sector. This group includes 277 individual stocks and currently holds a Zacks Sector Rank of #7. 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. ABM Industries is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for ABM's full-year earnings has moved 4.2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that ABM has returned about 6.4% since the start of the calendar year. In comparison, Business Services companies have returned an average of -26.3%. This means that ABM Industries is outperforming the sector as a whole this year.

Another Business Services stock, which has outperformed the sector so far this year, is Republic Services (RSG - Free Report) . The stock has returned 40.2% year-to-date.

In Republic Services' case, the consensus EPS estimate for the current year increased 2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, ABM Industries is a member of the Building Products - Maintenance Service industry, which includes 4 individual companies and currently sits at #56 in the Zacks Industry Rank. Stocks in this group have lost about 13.8% so far this year, so ABM is performing better this group in terms of year-to-date returns.

In contrast, Republic Services falls under the Waste Removal Services industry. Currently, this industry has 16 stocks and is ranked #89. Since the beginning of the year, the industry has moved -3.9%.

Investors with an interest in Business Services stocks should continue to track ABM Industries and Republic Services. These stocks will be looking to continue their solid performance.


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