Investors interested in Retail-Wholesale stocks should always be looking to find the best-performing companies in the group. Sonic Automotive (SAH) 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? One simple way to answer this question is to take a look at the year-to-date performance of SAH and the rest of the Retail-Wholesale group’s stocks.
Sonic Automotive is a member of the Retail-Wholesale sector. This group includes 204 individual stocks and currently holds a Zacks Sector Rank of #2. 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 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. SAH is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for SAH’s full-year earnings has moved 122.52% higher. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.
Based on the most recent data, SAH has returned 31.87% so far this year. At the same time, Retail-Wholesale stocks have gained an average of 30.70%. This means that Sonic Automotive is outperforming the sector as a whole this year.
To break things down more, SAH belongs to the Automotive – Retail and Whole Sales industry, a group that includes 9 individual companies and currently sits at #1 in the Zacks Industry Rank. This group has gained an average of 12.23% so far this year, so SAH is performing better in this area.
Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to SAH as it looks to continue its solid performance.
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