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Is Cap Gemini (CGEMY) Outperforming Other Business Services Stocks This Year?

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For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Cap Gemini SA (CGEMY - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Cap Gemini SA is one of 270 companies in the Business Services group. The Business Services group currently sits at #4 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Cap Gemini SA is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for CGEMY's full-year earnings has moved 2.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, CGEMY has gained about 4.3% so far this year. In comparison, Business Services companies have returned an average of 2.8%. This shows that Cap Gemini SA is outperforming its peers so far this year.

Another stock in the Business Services sector, Marqeta (MQ - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 21.4%.

For Marqeta, the consensus EPS estimate for the current year has increased 13.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Cap Gemini SA belongs to the Outsourcing industry, a group that includes 10 individual companies and currently sits at #27 in the Zacks Industry Rank. This group has gained an average of 1.1% so far this year, so CGEMY is performing better in this area.

In contrast, Marqeta falls under the Financial Transaction Services industry. Currently, this industry has 35 stocks and is ranked #74. Since the beginning of the year, the industry has moved +4.6%.

Going forward, investors interested in Business Services stocks should continue to pay close attention to Cap Gemini SA and Marqeta as they could maintain their solid performance.


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