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Are Business Services Stocks Lagging Futu Holdings (FUTU) This Year?

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For those looking to find strong Business Services stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Futu Holdings Limited Sponsored ADR (FUTU - Free Report) one of those stocks right now? 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.

Futu Holdings Limited Sponsored ADR is a member of our Business Services group, which includes 258 different companies and currently sits at #7 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. Futu Holdings Limited Sponsored ADR is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for FUTU's full-year earnings has moved 7.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, FUTU has gained about 88.7% so far this year. At the same time, Business Services stocks have gained an average of 0.5%. As we can see, Futu Holdings Limited Sponsored ADR is performing better than its sector in the calendar year.

Another Business Services stock, which has outperformed the sector so far this year, is Katapult Holdings, Inc. (KPLT - Free Report) . The stock has returned 86.6% year-to-date.

The consensus estimate for Katapult Holdings, Inc.'s current year EPS has increased 10.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Futu Holdings Limited Sponsored ADR is a member of the Technology Services industry, which includes 122 individual companies and currently sits at #93 in the Zacks Industry Rank. On average, this group has gained an average of 10.6% so far this year, meaning that FUTU is performing better in terms of year-to-date returns. Katapult Holdings, Inc. is also part of the same industry.

Investors with an interest in Business Services stocks should continue to track Futu Holdings Limited Sponsored ADR and Katapult Holdings, Inc.. These stocks will be looking to continue their solid performance.

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