The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. EDENRED (EDNMY) 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.

EDENRED is one of 289 companies in the Business Services group. The Business Services group currently sits at #7 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. EDENRED is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for EDNMY's full-year earnings has moved 9.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that EDNMY has returned about 5.9% since the start of the calendar year. Meanwhile, the Business Services sector has returned an average of 1.8% on a year-to-date basis. This shows that EDENRED is outperforming its peers so far this year.

Spotify (SPOT) is another Business Services stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 33.6%.

The consensus estimate for Spotify's current year EPS has increased 14.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, EDENRED belongs to the Technology Services industry, which includes 151 individual stocks and currently sits at #69 in the Zacks Industry Rank. On average, this group has gained an average of 5.5% so far this year, meaning that EDNMY is performing better in terms of year-to-date returns. Spotify is also part of the same industry.

Investors interested in the Business Services sector may want to keep a close eye on EDENRED and Spotify as they attempt to continue their solid performance.

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

EDENRED (EDNMY) : Free Stock Analysis Report

Spotify Technology (SPOT) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research