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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. Is ABM Industries (ABM - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Business Services sector should help us answer this question.

ABM Industries is a member of our Business Services group, which includes 328 different companies and currently sits at #6 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 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. ABM Industries is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for ABM's full-year earnings has moved 1.1% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, ABM has gained about 14.8% so far this year. Meanwhile, stocks in the Business Services group have lost about 21.5% on average. This means that ABM Industries is outperforming the sector as a whole this year.

One other Business Services stock that has outperformed the sector so far this year is ExlService Holdings (EXLS - Free Report) . The stock is up 21.1% year-to-date.

Over the past three months, ExlService Holdings' consensus EPS estimate for the current year has increased 1.8%. 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 3 individual companies and currently sits at #39 in the Zacks Industry Rank. On average, this group has gained an average of 4.9% so far this year, meaning that ABM is performing better in terms of year-to-date returns.

ExlService Holdings, however, belongs to the Outsourcing industry. Currently, this 14-stock industry is ranked #34. The industry has moved +0.9% so far this year.

ABM Industries and ExlService Holdings 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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