Is Dell Technologies (DELL) Stock Outpacing Its Computer and Technology Peers This Year?

For those looking to find strong Computer and Technology stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Dell Technologies (DELL) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Computer and Technology peers, we might be able to answer that question.

Dell Technologies is one of 605 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #5 in 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 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. Dell Technologies is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for DELL's full-year earnings has moved 3.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, DELL has returned 17.3% so far this year. Meanwhile, the Computer and Technology sector has returned an average of 11.8% on a year-to-date basis. This shows that Dell Technologies is outperforming its peers so far this year.

Another Computer and Technology stock, which has outperformed the sector so far this year, is KDDI Corporation Unsponsored ADR (KDDIY). The stock has returned 12.2% year-to-date.

Over the past three months, KDDI Corporation Unsponsored ADR's consensus EPS estimate for the current year has increased 0.3%. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Dell Technologies is a member of the Computer - Micro Computers industry, which includes 4 individual companies and currently sits at #14 in the Zacks Industry Rank. On average, this group has lost an average of 7.4% so far this year, meaning that DELL is performing better in terms of year-to-date returns.

KDDI Corporation Unsponsored ADR, however, belongs to the Wireless Non-US industry. Currently, this 14-stock industry is ranked #98. The industry has moved +28.4% so far this year.

Dell Technologies and KDDI Corporation Unsponsored ADR could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.

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

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