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Are Business Services Stocks Lagging Quad Graphics (QUAD) This Year?

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The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Quad/Graphics (QUAD - 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 Business Services sector should help us answer this question.

Quad/Graphics is a member of our Business Services group, which includes 233 different companies and currently sits at #12 in 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 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. Quad/Graphics is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for QUAD's full-year earnings has moved 3.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, QUAD has gained about 17.9% so far this year. Meanwhile, the Business Services sector has returned an average of -10.8% on a year-to-date basis. This means that Quad/Graphics is outperforming the sector as a whole this year.

Another Business Services stock, which has outperformed the sector so far this year, is RB Global (RBA - Free Report) . The stock has returned 1.5% year-to-date.

Over the past three months, RB Global's consensus EPS estimate for the current year has increased 0.5%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Quad/Graphics belongs to the Advertising and Marketing industry, a group that includes 15 individual stocks and currently sits at #55 in the Zacks Industry Rank. On average, this group has lost an average of 12.4% so far this year, meaning that QUAD is performing better in terms of year-to-date returns.

RB Global, however, belongs to the Financial Transaction Services industry. Currently, this 35-stock industry is ranked #76. The industry has moved -16.4% so far this year.

Quad/Graphics and RB Global could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks.

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