For those looking to find strong Consumer Discretionary stocks, it is prudent to search for companies in the group that are outperforming their peers. Dunelm Group (DNLMY) 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? By taking a look at the stock's year-to-date performance in comparison to its Consumer Discretionary peers, we might be able to answer that question.

Dunelm Group is one of 272 individual stocks in the Consumer Discretionary sector. Collectively, these companies sit at #8 in the Zacks Sector Rank. 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. Dunelm Group is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for DNLMY's full-year earnings has moved 2.3% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the latest available data, DNLMY has gained about 13.7% so far this year. At the same time, Consumer Discretionary stocks have gained an average of 6.1%. This means that Dunelm Group is outperforming the sector as a whole this year.

One other Consumer Discretionary stock that has outperformed the sector so far this year is Peloton (PTON). The stock is up 11.3% year-to-date.

The consensus estimate for Peloton's current year EPS has increased 24.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Dunelm Group belongs to the Textile - Home Furnishing industry, a group that includes 4 individual stocks and currently sits at #8 in the Zacks Industry Rank. On average, stocks in this group have gained 28% this year, meaning that DNLMY is slightly underperforming its industry in terms of year-to-date returns.

In contrast, Peloton falls under the Leisure and Recreation Products industry. Currently, this industry has 25 stocks and is ranked #56. Since the beginning of the year, the industry has moved -10.9%.

Investors with an interest in Consumer Discretionary stocks should continue to track Dunelm Group and Peloton. These stocks will be looking to continue their solid performance.