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Is BJs Wholesale Club Holdings (BJ) Stock Outpacing Its Consumer Discretionary Peers This Year?

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For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. BJs Wholesale Club Holdings (BJ - 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 Consumer Discretionary sector should help us answer this question.

BJs Wholesale Club Holdings is a member of our Consumer Discretionary group, which includes 240 different companies and currently sits at #9 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 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. BJ is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for BJ's full-year earnings has moved 36.20% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that BJ has returned about 61.26% since the start of the calendar year. Meanwhile, the Consumer Discretionary sector has returned an average of -12.05% on a year-to-date basis. This shows that BJs Wholesale Club Holdings is outperforming its peers so far this year.

Looking more specifically, BJ belongs to the Consumer Services - Miscellaneous industry, a group that includes 10 individual stocks and currently sits at #152 in the Zacks Industry Rank. Stocks in this group have lost about 9.90% so far this year, so BJ is performing better this group in terms of year-to-date returns.

Investors in the Consumer Discretionary sector will want to keep a close eye on BJ as it attempts to continue its solid performance.


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