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For those looking to find strong Conglomerates stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Bunzl PLC (BZLFY) been one of those stocks this year? By taking a look at the stock's year-to-date performance in comparison to its Conglomerates peers, we might be able to answer that question.
Bunzl PLC is a member of our Conglomerates group, which includes 24 different companies and currently sits at #16 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. Bunzl PLC is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for BZLFY's full-year earnings has moved 2.1% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, BZLFY has returned 10.1% so far this year. In comparison, Conglomerates companies have returned an average of -7.5%. This shows that Bunzl PLC is outperforming its peers so far this year.
Another Conglomerates stock, which has outperformed the sector so far this year, is Federal Signal (FSS). The stock has returned 26.9% year-to-date.
In Federal Signal's case, the consensus EPS estimate for the current year increased 3.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Bunzl PLC is a member of the Diversified Operations industry, which includes 24 individual companies and currently sits at #208 in the Zacks Industry Rank. Stocks in this group have lost about 7.5% so far this year, so BZLFY is performing better this group in terms of year-to-date returns. Federal Signal is also part of the same industry.
Investors with an interest in Conglomerates stocks should continue to track Bunzl PLC and Federal Signal. These stocks will be looking to continue their solid performance.
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Bunzl PLC (BZLFY) : Free Stock Analysis Report
Federal Signal Corporation (FSS) : Free Stock Analysis Report