The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. InterDigital (IDCC) 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 Computer and Technology peers, we might be able to answer that question.
InterDigital is a member of the Computer and Technology sector. This group includes 605 individual stocks and currently holds a Zacks Sector Rank of #7. 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. InterDigital is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for IDCC's full-year earnings has moved 4.9% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that IDCC has returned about 37.7% since the start of the calendar year. Meanwhile, stocks in the Computer and Technology group have gained about 12.9% on average. This means that InterDigital is performing better than its sector in terms of year-to-date returns.
One other Computer and Technology stock that has outperformed the sector so far this year is Draganfly Inc. (DPRO). The stock is up 19% year-to-date.
The consensus estimate for Draganfly Inc.'s current year EPS has increased 37.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, InterDigital belongs to the Wireless Equipment industry, which includes 11 individual stocks and currently sits at #67 in the Zacks Industry Rank. On average, stocks in this group have gained 15.8% this year, meaning that IDCC is performing better in terms of year-to-date returns.
Draganfly Inc., however, belongs to the Computers - IT Services industry. Currently, this 43-stock industry is ranked #162. The industry has moved -16.2% so far this year.
Investors interested in the Computer and Technology sector may want to keep a close eye on InterDigital and Draganfly Inc. as they attempt to continue their solid performance.
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InterDigital, Inc. (IDCC): Free Stock Analysis Report Draganfly Inc. (DPRO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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