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 Visa (V - Free Report) been one of those stocks this year? 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.
Visa is one of 164 companies in the Business Services group. The Business Services group currently sits at #12 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. V is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for V's full-year earnings has moved 1.48% 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, V has returned 19.70% so far this year. At the same time, Business Services stocks have gained an average of 11.69%. As we can see, Visa is performing better than its sector in the calendar year.
Looking more specifically, V belongs to the Financial Transaction Services industry, a group that includes 24 individual stocks and currently sits at #63 in the Zacks Industry Rank. This group has gained an average of 17.16% so far this year, so V is performing better in this area.
V will likely be looking to continue its solid performance, so investors interested Business Services stocks should continue to pay close attention to the company.