Are Business Services Stocks Lagging Sims Metal Management (SMSMY) This Year?

The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Sims Metal Management Ltd. (SMSMY) 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? Let's take a closer look at the stock's year-to-date performance to find out.Sims Metal Management Ltd. is one of 237 companies in the Business Services group. The Business Services group currently sits at #12 within 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. Sims Metal Management Ltd. is currently sporting a Zacks Rank of #2 (Buy).Within the past quarter, the Zacks Consensus Estimate for SMSMY's full-year earnings has moved 17.6% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.Our latest available data shows that SMSMY has returned about 23.2% since the start of the calendar year. Meanwhile, the Business Services sector has returned an average of -9.4% on a year-to-date basis. This means that Sims Metal Management Ltd. is performing better than its sector in terms of year-to-date returns.One other Business Services stock that has outperformed the sector so far this year is Veolia Environnement SA (VEOEY). The stock is up 13.7% year-to-date.In Veolia Environnement SA's case, the consensus EPS estimate for the current year increased 1.5% over the past three months. The stock currently has a Zacks Rank #2 (Buy).Breaking things down more, Sims Metal Management Ltd. is a member of the Waste Removal Services industry, which includes 21 individual companies and currently sits at #179 in the Zacks Industry Rank. On average, stocks in this group have gained 0.1% this year, meaning that SMSMY is performing better in terms of year-to-date returns. Veolia Environnement SA is also part of the same industry.Going forward, investors interested in Business Services stocks should continue to pay close attention to Sims Metal Management Ltd. and Veolia Environnement SA as they could maintain their solid performance.Free Report: Profiting from the 2nd Wave of AI ExplosionThe next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.Investors who bought shares like Nvidia at the right time have had a shot at huge gains.But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Access AI Boom 2.0 now, absolutely free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Sims Metal Management Ltd. (SMSMY): Free Stock Analysis Report Veolia Environnement SA (VEOEY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks