The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Adeia (ADEA) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
Adeia is one of 233 individual stocks in the Business Services sector. Collectively, these companies sit at #11 in 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 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. Adeia is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ADEA's full-year earnings has moved 0.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, ADEA has moved about 71.2% on a year-to-date basis. At the same time, Business Services stocks have lost an average of 10.9%. This means that Adeia is outperforming the sector as a whole this year.
One other Business Services stock that has outperformed the sector so far this year is Miami International Holdings, Inc. (MIAX). The stock is up 17.2% year-to-date.
Over the past three months, Miami International Holdings, Inc.'s consensus EPS estimate for the current year has increased 12.8%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Adeia belongs to the Technology Services industry, which includes 111 individual stocks and currently sits at #190 in the Zacks Industry Rank. On average, this group has lost an average of 4.1% so far this year, meaning that ADEA is performing better in terms of year-to-date returns. Miami International Holdings, Inc. is also part of the same industry.
Investors interested in the Business Services sector may want to keep a close eye on Adeia and Miami International Holdings, Inc. as they attempt to continue their solid performance.
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This article originally published on Zacks Investment Research (zacks.com).