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Is Chico's FAS (CHS) Stock Outpacing Its Retail-Wholesale Peers This Year?

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Investors interested in Retail-Wholesale stocks should always be looking to find the best-performing companies in the group. Is Chico's FAS one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.

Chico's FAS is one of 230 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #13 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Chico's FAS is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for CHS' full-year earnings has moved 55.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that CHS has returned about 2.2% since the start of the calendar year. Meanwhile, the Retail-Wholesale sector has returned an average of -22.6% on a year-to-date basis. This shows that Chico's FAS is outperforming its peers so far this year.

Another Retail-Wholesale stock, which has outperformed the sector so far this year, is Designer Brands (DBI - Free Report) . The stock has returned 3.1% year-to-date.

For Designer Brands, the consensus EPS estimate for the current year has increased 7.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Chico's FAS belongs to the Retail - Apparel and Shoes industry, which includes 42 individual stocks and currently sits at #170 in the Zacks Industry Rank. This group has lost an average of 40.7% so far this year, so CHS is performing better in this area. Designer Brands is also part of the same industry.

Chico's FAS and Designer Brands 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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