For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Macy's (M - 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? One simple way to answer this question is to take a look at the year-to-date performance of M and the rest of the Retail-Wholesale group's stocks.
Macy's is one of 214 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #6 in 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 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. M is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for M's full-year earnings has moved 2.23% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, M has gained about 44.03% so far this year. Meanwhile, the Retail-Wholesale sector has returned an average of 18.36% on a year-to-date basis. This means that Macy's is performing better than its sector in terms of year-to-date returns.
Looking more specifically, M belongs to the Retail - Regional Department Stores industry, which includes 5 individual stocks and currently sits at #205 in the Zacks Industry Rank. On average, this group has gained an average of 39.73% so far this year, meaning that M is performing better in terms of year-to-date returns.
Investors with an interest in Retail-Wholesale stocks should continue to track M. The stock will be looking to continue its solid performance.