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Is Costco Wholesale (COST) Outperforming Other Retail-Wholesale Stocks This Year?

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For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Costco Wholesale (COST - Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.

Costco Wholesale is one of 218 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #9 within the Zacks Sector Rank. 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 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. COST is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for COST's full-year earnings has moved 3.45% 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, COST has gained about 18.86% so far this year. Meanwhile, the Retail-Wholesale sector has returned an average of 15.86% on a year-to-date basis. This shows that Costco Wholesale is outperforming its peers so far this year.

Breaking things down more, COST is a member of the Retail - Discount Stores industry, which includes 10 individual companies and currently sits at #99 in the Zacks Industry Rank. On average, stocks in this group have gained 16.73% this year, meaning that COST is performing better in terms of year-to-date returns.

Investors with an interest in Retail-Wholesale stocks should continue to track COST. The stock will be looking to continue its solid performance.


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