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Is Roku (ROKU) Outperforming Other Consumer Discretionary Stocks This Year?

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The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Roku (ROKU - Free Report) 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.

Roku is a member of our Consumer Discretionary group, which includes 261 different companies and currently sits at #8 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. ROKU is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for ROKU's full-year earnings has moved 250.80% 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, ROKU has gained about 3.09% so far this year. At the same time, Consumer Discretionary stocks have lost an average of 2.02%. This means that Roku is performing better than its sector in terms of year-to-date returns.

Looking more specifically, ROKU belongs to the Broadcast Radio and Television industry, which includes 21 individual stocks and currently sits at #104 in the Zacks Industry Rank. This group has gained an average of 12.63% so far this year, so ROKU is slightly underperforming its industry in this area.

Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to ROKU as it looks to continue its solid performance.


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