For those looking to find strong Consumer Staples stocks, it is prudent to search for companies in the group that are outperforming their peers. Lamb Weston Holdings (LW - 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 LW and the rest of the Consumer Staples group's stocks.
Lamb Weston Holdings is a member of our Consumer Staples group, which includes 180 different companies and currently sits at #11 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 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. LW is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for LW's full-year earnings has moved 1.60% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, LW has gained about 5.17% so far this year. Meanwhile, stocks in the Consumer Staples group have gained about 0.66% on average. This means that Lamb Weston Holdings is performing better than its sector in terms of year-to-date returns.
Looking more specifically, LW belongs to the Food - Miscellaneous industry, which includes 41 individual stocks and currently sits at #106 in the Zacks Industry Rank. Stocks in this group have lost about 1.14% so far this year, so LW is performing better this group in terms of year-to-date returns.
Investors with an interest in Consumer Staples stocks should continue to track LW. The stock will be looking to continue its solid performance.