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Is Group 1 Automotive (GPI) Stock Outpacing Its Retail-Wholesale Peers This Year?

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The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Group 1 Automotive (GPI - 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? 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.

Group 1 Automotive is one of 214 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #7 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 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. Group 1 Automotive is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for GPI's full-year earnings has moved 2.6% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, GPI has returned 2.8% so far this year. At the same time, Retail-Wholesale stocks have lost an average of 2.8%. This means that Group 1 Automotive is performing better than its sector in terms of year-to-date returns.

Kingfisher PLC (KGFHY - Free Report) is another Retail-Wholesale stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 10.2%.

The consensus estimate for Kingfisher PLC's current year EPS has increased 2.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Group 1 Automotive is a member of the Automotive - Retail and Whole Sales industry, which includes 9 individual companies and currently sits at #35 in the Zacks Industry Rank. Stocks in this group have lost about 2.5% so far this year, so GPI is performing better this group in terms of year-to-date returns.

On the other hand, Kingfisher PLC belongs to the Retail - Miscellaneous industry. This 19-stock industry is currently ranked #60. The industry has moved -12.1% year to date.

Group 1 Automotive and Kingfisher PLC 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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