Markets

Is Roku (ROKU) Outperforming Other Consumer Discretionary Stocks This Year?

For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Roku (ROKU) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Roku is one of 244 companies in the Consumer Discretionary group. The Consumer Discretionary group currently sits at #12 within the Zacks Sector Rank. 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. ROKU is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for ROKU's full-year earnings has moved 13.04% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, ROKU has moved about 246.77% on a year-to-date basis. At the same time, Consumer Discretionary stocks have gained an average of 15.59%. This shows that Roku is outperforming its peers so far this year.

Looking more specifically, ROKU belongs to the Broadcast Radio and Television industry, a group that includes 24 individual stocks and currently sits at #223 in the Zacks Industry Rank. This group has gained an average of 6.55% so far this year, so ROKU is performing better in this area.

Going forward, investors interested in Consumer Discretionary stocks should continue to pay close attention to ROKU as it looks to continue its solid performance.


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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.