Is The RealReal (REAL) Stock Outpacing Its Consumer Discretionary Peers This Year?
The Consumer Discretionary group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has The RealReal (REAL) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.
The RealReal is one of 279 individual stocks in the Consumer Discretionary sector. Collectively, these companies sit at #11 in 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. The RealReal is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for REAL's full-year earnings has moved 7.5% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, REAL has gained about 13.4% so far this year. Meanwhile, stocks in the Consumer Discretionary group have lost about 2.7% on average. This means that The RealReal is outperforming the sector as a whole this year.
Reservoir Media, Inc. (RSVR) is another Consumer Discretionary stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 2.8%.
In Reservoir Media, Inc.'s case, the consensus EPS estimate for the current year increased 12.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, The RealReal belongs to the Consumer Products - Discretionary industry, a group that includes 25 individual stocks and currently sits at #103 in the Zacks Industry Rank. This group has gained an average of 19.9% so far this year, so REAL is slightly underperforming its industry in this area.
Reservoir Media, Inc. however, belongs to the Media Conglomerates industry. Currently, this 15-stock industry is ranked #26. The industry has moved -4.4% so far this year.
Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to The RealReal and Reservoir Media, Inc. as they could maintain their solid performance.
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