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Has Lowe's Companies (LOW) Outpaced Other Retail-Wholesale Stocks This Year?

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The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Lowe's Companies (LOW - 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 LOW and the rest of the Retail-Wholesale group's stocks.

Lowe's Companies is a member of the Retail-Wholesale sector. This group includes 225 individual stocks and currently holds a Zacks Sector Rank of #5. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

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. LOW is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for LOW's full-year earnings has moved 1.32% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, LOW has returned 19.98% so far this year. Meanwhile, stocks in the Retail-Wholesale group have gained about 19.22% on average. As we can see, Lowe's Companies is performing better than its sector in the calendar year.

To break things down more, LOW belongs to the Building Products - Retail industry, a group that includes 11 individual companies and currently sits at #50 in the Zacks Industry Rank. Stocks in this group have gained about 33.18% so far this year, so LOW is slightly underperforming its industry this group in terms of year-to-date returns.

LOW will likely be looking to continue its solid performance, so investors interested in Retail-Wholesale stocks should continue to pay close attention to the company.


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