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Has DocuSign (DOCU) Outpaced Other Business Services Stocks This Year?

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Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Has DocuSign (DOCU - 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 Business Services sector should help us answer this question.

DocuSign is one of 344 companies in the Business Services group. The Business Services group currently sits at #9 within 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. DocuSign is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for DOCU's full-year earnings has moved 77.8% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, DOCU has gained about 1.5% so far this year. Meanwhile, stocks in the Business Services group have lost about 29% on average. This shows that DocuSign is outperforming its peers so far this year.

Another Business Services stock, which has outperformed the sector so far this year, is Distribution Solutions Group (DSGR - Free Report) . The stock has returned 1.1% year-to-date.

For Distribution Solutions Group, the consensus EPS estimate for the current year has increased 33.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, DocuSign belongs to the Technology Services industry, a group that includes 199 individual companies and currently sits at #102 in the Zacks Industry Rank. This group has lost an average of 49.2% so far this year, so DOCU is performing better in this area. Distribution Solutions Group is also part of the same industry.

Investors with an interest in Business Services stocks should continue to track DocuSign and Distribution Solutions Group. These stocks will be looking to continue their solid performance.


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