For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. America's Car-Mart (CRMT - 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 CRMT and the rest of the Retail-Wholesale group's stocks.
America's Car-Mart is one of 155 individual stocks in the Retail-Wholesale sector. Collectively, these companies sit at #2 in 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 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. CRMT is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for CRMT's full-year earnings has moved 16.23% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, CRMT has gained about 70.24% so far this year. At the same time, Retail-Wholesale stocks have gained an average of 10.39%. This means that America's Car-Mart is performing better than its sector in terms of year-to-date returns.
Looking more specifically, CRMT belongs to the Automotive - Retail and Whole Sales industry, which includes 7 individual stocks and currently sits at #22 in the Zacks Industry Rank. This group has lost an average of 14.93% so far this year, so CRMT is performing better in this area.
Investors in the Retail-Wholesale sector will want to keep a close eye on CRMT as it attempts to continue its solid performance.