Is Grab (GRAB) Stock Outpacing Its Business Services Peers This Year?

Zacks
10 Dec 2024

Investors interested in Business Services stocks should always be looking to find the best-performing companies in the group. Grab Holdings Limited (GRAB) 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? 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.

Grab Holdings Limited is a member of the Business Services sector. This group includes 305 individual stocks and currently holds a Zacks Sector Rank of #4. 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Grab Holdings Limited is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for GRAB's full-year earnings has moved 25% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, GRAB has returned 58.2% so far this year. At the same time, Business Services stocks have gained an average of 24.3%. This means that Grab Holdings Limited 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 Willdan Group (WLDN). The stock is up 98.3% year-to-date.

The consensus estimate for Willdan Group's current year EPS has increased 5.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Grab Holdings Limited belongs to the Technology Services industry, a group that includes 162 individual companies and currently sits at #60 in the Zacks Industry Rank. Stocks in this group have gained about 60% so far this year, so GRAB is slightly underperforming its industry this group in terms of year-to-date returns.

Willdan Group, however, belongs to the Business - Services industry. Currently, this 24-stock industry is ranked #128. The industry has moved +1.7% so far this year.

Investors interested in the Business Services sector may want to keep a close eye on Grab Holdings Limited and Willdan Group as they attempt to continue their solid performance.

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