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Is Kohl's (KSS) Stock Outpacing Its Retail-Wholesale Peers This Year?

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For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Kohl's (KSS - 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? Let's take a closer look at the stock's year-to-date performance to find out.

Kohl's is one of 196 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #12 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Kohl's is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for KSS' full-year earnings has moved 78.4% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, KSS has returned 18.7% so far this year. Meanwhile, stocks in the Retail-Wholesale group have gained about 5.9% on average. This means that Kohl's is performing better than its sector in terms of year-to-date returns.

One other Retail-Wholesale stock that has outperformed the sector so far this year is Compass Group PLC (CMPGY - Free Report) . The stock is up 6.1% year-to-date.

Over the past three months, Compass Group PLC's consensus EPS estimate for the current year has increased 0.6%. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Kohl's is a member of the Retail - Regional Department Stores industry, which includes 3 individual companies and currently sits at #4 in the Zacks Industry Rank. On average, stocks in this group have gained 25.9% this year, meaning that KSS is slightly underperforming its industry in terms of year-to-date returns.

On the other hand, Compass Group PLC belongs to the Retail - Restaurants industry. This 39-stock industry is currently ranked #225. The industry has moved -5.9% year to date.

Investors with an interest in Retail-Wholesale stocks should continue to track Kohl's and Compass Group PLC. These stocks will be looking to continue their solid performance.


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