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Is Hyatt Hotels (H) Outperforming Other Consumer Discretionary Stocks This Year?

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For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. Hyatt Hotels (H - 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 Consumer Discretionary sector should help us answer this question.

Hyatt Hotels is one of 260 individual stocks in the Consumer Discretionary sector. Collectively, these companies sit at #11 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 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. Hyatt Hotels is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for H's full-year earnings has moved 5% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the most recent data, H has returned 18.6% so far this year. In comparison, Consumer Discretionary companies have returned an average of -5.7%. As we can see, Hyatt Hotels is performing better than its sector in the calendar year.

One other Consumer Discretionary stock that has outperformed the sector so far this year is Crocs (CROX - Free Report) . The stock is up 86.9% year-to-date.

The consensus estimate for Crocs' current year EPS has increased 4.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Hyatt Hotels belongs to the Hotels and Motels industry, a group that includes 15 individual companies and currently sits at #156 in the Zacks Industry Rank. On average, stocks in this group have gained 27.3% this year, meaning that H is slightly underperforming its industry in terms of year-to-date returns.

On the other hand, Crocs belongs to the Textile - Apparel industry. This 23-stock industry is currently ranked #152. The industry has moved +5.7% year to date.

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

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