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Has Stantec (STN) Outpaced Other Business Services Stocks This Year?

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The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Stantec (STN - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Stantec is a member of our Business Services group, which includes 274 different companies and currently sits at #8 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 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. Stantec is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for STN's full-year earnings has moved 3.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, STN has returned 8.7% so far this year. Meanwhile, stocks in the Business Services group have gained about 2.7% on average. As we can see, Stantec is performing better than its sector in the calendar year.

Another Business Services stock, which has outperformed the sector so far this year, is Willdan Group (WLDN - Free Report) . The stock has returned 7% year-to-date.

The consensus estimate for Willdan Group's current year EPS has increased 20.1% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Stantec belongs to the Consulting Services industry, which includes 13 individual stocks and currently sits at #142 in the Zacks Industry Rank. On average, stocks in this group have lost 7.3% this year, meaning that STN is performing better in terms of year-to-date returns.

In contrast, Willdan Group falls under the Business - Services industry. Currently, this industry has 25 stocks and is ranked #161. Since the beginning of the year, the industry has moved +6.9%.

Investors with an interest in Business Services stocks should continue to track Stantec and Willdan Group. These stocks will be looking to continue their solid performance.


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