Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Credo Technology Group Holding Ltd. (CRDO) 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.
Credo Technology Group Holding Ltd. is a member of the Computer and Technology sector. This group includes 607 individual stocks and currently holds a Zacks Sector Rank of #5. 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 is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Credo Technology Group Holding Ltd. is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for CRDO's full-year earnings has moved 43.3% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, CRDO has gained about 45.2% so far this year. Meanwhile, stocks in the Computer and Technology group have gained about 8.1% on average. This means that Credo Technology Group Holding Ltd. is performing better than its sector in terms of year-to-date returns.
Another stock in the Computer and Technology sector, IBM (IBM), has outperformed the sector so far this year. The stock's year-to-date return is 32%.
In IBM's case, the consensus EPS estimate for the current year increased 2.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Credo Technology Group Holding Ltd. belongs to the Electronics - Semiconductors industry, which includes 44 individual stocks and currently sits at #82 in the Zacks Industry Rank. On average, this group has gained an average of 15% so far this year, meaning that CRDO is performing better in terms of year-to-date returns.
In contrast, IBM falls under the Computer - Integrated Systems industry. Currently, this industry has 11 stocks and is ranked #32. Since the beginning of the year, the industry has moved +26.1%.
Investors interested in the Computer and Technology sector may want to keep a close eye on Credo Technology Group Holding Ltd. and IBM as they attempt to continue their solid performance.
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Credo Technology Group Holding Ltd. (CRDO): Free Stock Analysis Report International Business Machines Corporation (IBM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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