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Is Palantir Technologies (PLTR) Stock Outpacing Its Business Services Peers This Year?

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The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Palantir Technologies Inc. (PLTR - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Palantir Technologies Inc. is one of 317 companies in the Business Services group. The Business Services group currently sits at #7 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 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. Palantir Technologies Inc. is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for PLTR's full-year earnings has moved 36.8% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that PLTR has returned about 138.2% since the start of the calendar year. Meanwhile, stocks in the Business Services group have gained about 2.7% on average. This means that Palantir Technologies Inc. is performing better than its sector in terms of year-to-date returns.

Spotify (SPOT - Free Report) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 100.6%.

For Spotify, the consensus EPS estimate for the current year has increased 2.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Palantir Technologies Inc. is a member of the Technology Services industry, which includes 177 individual companies and currently sits at #91 in the Zacks Industry Rank. Stocks in this group have gained about 19.5% so far this year, so PLTR is performing better this group in terms of year-to-date returns. Spotify is also part of the same industry.

Investors interested in the Business Services sector may want to keep a close eye on Palantir Technologies Inc. and Spotify as they attempt to continue their solid performance.


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