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Are Consumer Discretionary Stocks Lagging Playa Hotels & Resorts (PLYA) This Year?

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For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Playa Hotels & Resorts (PLYA - Free Report) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question.

Playa Hotels & Resorts is one of 274 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #5 within 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Playa Hotels & Resorts is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for PLYA's full-year earnings has moved 19.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, PLYA has moved about 39.7% on a year-to-date basis. Meanwhile, stocks in the Consumer Discretionary group have gained about 10.1% on average. This means that Playa Hotels & Resorts is performing better than its sector in terms of year-to-date returns.

Another stock in the Consumer Discretionary sector, PVH (PVH - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 23.1%.

For PVH, the consensus EPS estimate for the current year has increased 13.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Playa Hotels & Resorts belongs to the Hotels and Motels industry, which includes 15 individual stocks and currently sits at #100 in the Zacks Industry Rank. On average, stocks in this group have gained 14.6% this year, meaning that PLYA is performing better in terms of year-to-date returns.

In contrast, PVH falls under the Textile - Apparel industry. Currently, this industry has 18 stocks and is ranked #207. Since the beginning of the year, the industry has moved +0.2%.

Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to Playa Hotels & Resorts and PVH as they could maintain their solid performance.


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