The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has PENN Entertainment (PENN) been one of those stocks this year? 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.
PENN Entertainment is a member of the Consumer Discretionary sector. This group includes 259 individual stocks and currently holds a Zacks Sector Rank of #6. 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 proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. PENN Entertainment is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for PENN's full-year earnings has moved 4.3% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, PENN has gained about 44.2% so far this year. Meanwhile, stocks in the Consumer Discretionary group have lost about 7.2% on average. This shows that PENN Entertainment is outperforming its peers so far this year.
One other Consumer Discretionary stock that has outperformed the sector so far this year is American Outdoor Brands, Inc. (AOUT). The stock is up 82.9% year-to-date.
For American Outdoor Brands, Inc., the consensus EPS estimate for the current year has increased 46.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, PENN Entertainment is a member of the Gaming industry, which includes 41 individual companies and currently sits at #180 in the Zacks Industry Rank. On average, this group has lost an average of 14.5% so far this year, meaning that PENN is performing better in terms of year-to-date returns.
In contrast, American Outdoor Brands, Inc. falls under the Leisure and Recreation Products industry. Currently, this industry has 24 stocks and is ranked #71. Since the beginning of the year, the industry has moved -0.9%.
Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to PENN Entertainment and American Outdoor Brands, Inc. as they could maintain their solid performance.
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PENN Entertainment, Inc. (PENN): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).