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Has RCM Technologies (RCMT) 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. RCM Technologies, Inc. (RCMT - Free Report) 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? By taking a look at the stock's year-to-date performance in comparison to its Business Services peers, we might be able to answer that question.

RCM Technologies, Inc. is a member of the Business Services sector. This group includes 327 individual stocks and currently holds a Zacks Sector Rank of #9. 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 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. RCM Technologies, Inc. is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for RCMT's full-year earnings has moved 1.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, RCMT has returned 129.2% so far this year. Meanwhile, the Business Services sector has returned an average of -22% on a year-to-date basis. This shows that RCM Technologies, Inc. is outperforming its peers so far this year.

Another stock in the Business Services sector, Huron Consulting (HURN - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 33%.

The consensus estimate for Huron Consulting's current year EPS has increased 2.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, RCM Technologies, Inc. belongs to the Staffing Firms industry, a group that includes 18 individual companies and currently sits at #95 in the Zacks Industry Rank. On average, this group has lost an average of 19.7% so far this year, meaning that RCMT is performing better in terms of year-to-date returns.

Huron Consulting, however, belongs to the Consulting Services industry. Currently, this 15-stock industry is ranked #31. The industry has moved -24.3% so far this year.

RCM Technologies, Inc. and Huron Consulting 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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