Are Business Services Stocks Lagging GigaCloud Technology Inc. (GCT) This Year?

Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. GigaCloud Technology Inc. (GCT) 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? By taking a look at the stock's year-to-date performance in comparison to its Business Services peers, we might be able to answer that question.

GigaCloud Technology Inc. is one of 244 individual stocks in the Business Services sector. Collectively, these companies sit at #8 in 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. GigaCloud Technology Inc. is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for GCT's full-year earnings has moved 17.7% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, GCT has moved about 50% on a year-to-date basis. Meanwhile, stocks in the Business Services group have lost about 11.3% on average. This shows that GigaCloud Technology Inc. is outperforming its peers so far this year.

Another Business Services stock, which has outperformed the sector so far this year, is Trane Technologies (TT). The stock has returned 18.6% year-to-date.

Over the past three months, Trane Technologies' consensus EPS estimate for the current year has increased 2.9%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, GigaCloud Technology Inc. belongs to the Technology Services industry, a group that includes 123 individual stocks and currently sits at #101 in the Zacks Industry Rank. On average, this group has lost an average of 21.5% so far this year, meaning that GCT is performing better in terms of year-to-date returns. Trane Technologies is also part of the same industry.

Investors with an interest in Business Services stocks should continue to track GigaCloud Technology Inc. and Trane Technologies. These stocks will be looking to continue their solid performance.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

Of course, all our elite picks aren't winners, but this one could far surpass earlier Zacks' Stocks Set to Double like D-Wave Quantum, which shot up +680.1%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research