Investors focused on the Consumer Discretionary space have likely heard of lululemon athletica (LULU), but is the stock performing well in comparison to the rest of its sector peers? 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.
lululemon athletica is one of 250 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #8 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 model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. LULU is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for LULU's full-year earnings has moved 2.70% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, LULU has moved about 56.38% on a year-to-date basis. Meanwhile, the Consumer Discretionary sector has returned an average of 25.94% on a year-to-date basis. This means that lululemon athletica is performing better than its sector in terms of year-to-date returns.
Looking more specifically, LULU belongs to the Textile - Apparel industry, which includes 23 individual stocks and currently sits at #189 in the Zacks Industry Rank. On average, stocks in this group have gained 29.85% this year, meaning that LULU is performing better in terms of year-to-date returns.
LULU will likely be looking to continue its solid performance, so investors interested in Consumer Discretionary stocks should continue to pay close attention to the company.
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