The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Zynga (ZNGA - 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 ZNGA and the rest of the Consumer Discretionary group's stocks.
Zynga is one of 241 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #9 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. ZNGA is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ZNGA's full-year earnings has moved 5.49% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, ZNGA has moved about 29.74% on a year-to-date basis. At the same time, Consumer Discretionary stocks have lost an average of 18.14%. This shows that Zynga is outperforming its peers so far this year.
Looking more specifically, ZNGA belongs to the Gaming industry, which includes 26 individual stocks and currently sits at #74 in the Zacks Industry Rank. On average, this group has lost an average of 33% so far this year, meaning that ZNGA is performing better in terms of year-to-date returns.
Investors in the Consumer Discretionary sector will want to keep a close eye on ZNGA as it attempts to continue its solid performance.