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Is Fiserv (FI) Stock Outpacing Its Business Services Peers This Year?

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For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Fiserv (FI - Free Report) one of those stocks right now? 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.

Fiserv is a member of the Business Services sector. This group includes 317 individual stocks and currently holds a Zacks Sector Rank of #8. 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 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. Fiserv is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for FI's full-year earnings has moved 0.8% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Our latest available data shows that FI has returned about 12.9% since the start of the calendar year. At the same time, Business Services stocks have gained an average of 4.2%. This means that Fiserv is outperforming the sector as a whole this year.

Another Business Services stock, which has outperformed the sector so far this year, is Nu Holdings Ltd. (NU - Free Report) . The stock has returned 96.1% year-to-date.

Over the past three months, Nu Holdings Ltd.'s consensus EPS estimate for the current year has increased 24.5%. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Fiserv is a member of the Financial Transaction Services industry, which includes 38 individual companies and currently sits at #164 in the Zacks Industry Rank. This group has gained an average of 8.5% so far this year, so FI is performing better in this area.

On the other hand, Nu Holdings Ltd. belongs to the Technology Services industry. This 177-stock industry is currently ranked #91. The industry has moved +20.3% year to date.

Investors with an interest in Business Services stocks should continue to track Fiserv and Nu Holdings Ltd. These stocks will be looking to continue their solid performance.


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