Back to top

Image: Bigstock

Are Consumer Discretionary Stocks Lagging PlayAGS (AGS) This Year?

Read MoreHide Full Article

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 PlayAGS (AGS - 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.

PlayAGS is a member of the Consumer Discretionary sector. This group includes 268 individual stocks and currently holds a Zacks Sector Rank of #12. 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. PlayAGS is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for AGS' full-year earnings has moved 3.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that AGS has returned about 4.3% since the start of the calendar year. Meanwhile, stocks in the Consumer Discretionary group have lost about 4.1% on average. This means that PlayAGS is performing better than its sector in terms of year-to-date returns.

Another Consumer Discretionary stock, which has outperformed the sector so far this year, is Pearson (PSO - Free Report) . The stock has returned 2.9% year-to-date.

For Pearson, the consensus EPS estimate for the current year has increased 2.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, PlayAGS belongs to the Gaming industry, which includes 40 individual stocks and currently sits at #150 in the Zacks Industry Rank. Stocks in this group have lost about 7.8% so far this year, so AGS is performing better this group in terms of year-to-date returns.

Pearson, however, belongs to the Media Conglomerates industry. Currently, this 13-stock industry is ranked #167. The industry has moved -5.2% so far this year.

PlayAGS and Pearson could continue their solid performance, so investors interested in Consumer Discretionary stocks should continue to pay close attention to these stocks.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Pearson, PLC (PSO) - free report >>

PlayAGS, Inc. (AGS) - free report >>

Published in