Is Adyen (ADYEY) Stock Outpacing Its Business Services Peers This Year?
For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Adyen N.V. Unsponsored ADR (ADYEY) 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 Business Services sector should help us answer this question.
Adyen N.V. Unsponsored ADR is one of 312 companies in the Business Services group. The Business Services group currently sits at #4 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. Adyen N.V. Unsponsored ADR is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for ADYEY's full-year earnings has moved 8% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, ADYEY has returned 14.4% so far this year. In comparison, Business Services companies have returned an average of 13.2%. This means that Adyen N.V. Unsponsored ADR is outperforming the sector as a whole this year.
Another Business Services stock, which has outperformed the sector so far this year, is Distribution Solutions Group (DSGR). The stock has returned 21.2% year-to-date.
Over the past three months, Distribution Solutions Group's consensus EPS estimate for the current year has increased 16.8%. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Adyen N.V. Unsponsored ADR belongs to the Financial Transaction Services industry, which includes 43 individual stocks and currently sits at #102 in the Zacks Industry Rank. On average, stocks in this group have gained 9.1% this year, meaning that ADYEY is performing better in terms of year-to-date returns.
On the other hand, Distribution Solutions Group belongs to the Technology Services industry. This 167-stock industry is currently ranked #71. The industry has moved +28.8% year to date.
Adyen N.V. Unsponsored ADR and Distribution Solutions Group could continue their solid performance, so investors interested in Business Services stocks should continue to pay close attention to these stocks.
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Adyen N.V. Unsponsored ADR (ADYEY) : Free Stock Analysis Report
Distribution Solutions Group, Inc. (DSGR) : Free Stock Analysis Report