The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Genesco (GCO) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Genesco is one of 187 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #4 within the Zacks Sector Rank. 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 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. Genesco is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for GCO's full-year earnings has moved 4.7% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, GCO has gained about 44.1% so far this year. Meanwhile, stocks in the Retail-Wholesale group have lost about 2.3% on average. As we can see, Genesco is performing better than its sector in the calendar year.
Another Retail-Wholesale stock, which has outperformed the sector so far this year, is Signet (SIG). The stock has returned 10.2% year-to-date.
The consensus estimate for Signet's current year EPS has increased 3.5% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Genesco is a member of the Retail - Apparel and Shoes industry, which includes 38 individual companies and currently sits at #57 in the Zacks Industry Rank. On average, this group has lost an average of 8.1% so far this year, meaning that GCO is performing better in terms of year-to-date returns.
In contrast, Signet falls under the Retail - Jewelry industry. Currently, this industry has 6 stocks and is ranked #26. Since the beginning of the year, the industry has moved +13.2%.
Genesco and Signet could continue their solid performance, so investors interested in Retail-Wholesale stocks should continue to pay close attention to these stocks.
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Genesco Inc. (GCO): Free Stock Analysis Report
Signet Jewelers Limited (SIG): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).