Investors focused on the Consumer Discretionary space have likely heard of Netflix (NFLX), but is the stock performing well in comparison to the rest of its sector peers? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Discretionary sector should help us answer this question.
Netflix is one of 241 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #10 within 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 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. NFLX is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for NFLX's full-year earnings has moved 9.86% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that NFLX has returned about 13.35% since the start of the calendar year. Meanwhile, the Consumer Discretionary sector has returned an average of -0.81% on a year-to-date basis. This shows that Netflix is outperforming its peers so far this year.
Breaking things down more, NFLX is a member of the Broadcast Radio and Television industry, which includes 24 individual companies and currently sits at #60 in the Zacks Industry Rank. On average, stocks in this group have gained 4.33% this year, meaning that NFLX is performing better in terms of year-to-date returns.
NFLX will likely be looking to continue its solid performance, so investors interested in Consumer Discretionary stocks should continue to pay close attention to the company.