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Is Nomad Foods Limited (NOMD) Stock Outpacing Its Consumer Staples Peers This Year?

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For those looking to find strong Consumer Staples stocks, it is prudent to search for companies in the group that are outperforming their peers. Nomad Foods (NOMD - 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? Let's take a closer look at the stock's year-to-date performance to find out.

Nomad Foods is a member of the Consumer Staples sector. This group includes 184 individual stocks and currently holds a Zacks Sector Rank of #10. 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 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. Nomad Foods is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for NOMD's full-year earnings has moved 3.2% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that NOMD has returned about 14.6% since the start of the calendar year. Meanwhile, the Consumer Staples sector has returned an average of 10.1% on a year-to-date basis. As we can see, Nomad Foods is performing better than its sector in the calendar year.

New York Times Co. (NYT - Free Report) is another Consumer Staples stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 11%.

The consensus estimate for New York Times Co.'s current year EPS has increased 7.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Nomad Foods belongs to the Food - Miscellaneous industry, which includes 45 individual stocks and currently sits at #88 in the Zacks Industry Rank. On average, stocks in this group have gained 5.3% this year, meaning that NOMD is performing better in terms of year-to-date returns.

New York Times Co. however, belongs to the Publishing - Newspapers industry. Currently, this 2-stock industry is ranked #89. The industry has moved +12.6% so far this year.

Nomad Foods and New York Times Co. could continue their solid performance, so investors interested in Consumer Staples stocks should continue to pay close attention to these stocks.


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