Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Has Analog Devices (ADI) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Computer and Technology sector should help us answer this question.
Analog Devices is one of 603 companies in the Computer and Technology group. The Computer and Technology group currently sits at #1 within 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 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. Analog Devices is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for ADI's full-year earnings has moved 5.6% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the latest available data, ADI has gained about 28.5% so far this year. Meanwhile, the Computer and Technology sector has returned an average of 27.5% on a year-to-date basis. As we can see, Analog Devices is performing better than its sector in the calendar year.
AXT (AXTI) is another Computer and Technology stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 441.9%.
For AXT, the consensus EPS estimate for the current year has increased 28.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Analog Devices belongs to the Semiconductor - Analog and Mixed industry, a group that includes 10 individual companies and currently sits at #58 in the Zacks Industry Rank. On average, stocks in this group have gained 17.9% this year, meaning that ADI is performing better in terms of year-to-date returns.
AXT, however, belongs to the Electronics - Semiconductors industry. Currently, this 45-stock industry is ranked #134. The industry has moved +49.6% so far this year.
Analog Devices and AXT 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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Analog Devices, Inc. (ADI): Free Stock Analysis Report AXT Inc (AXTI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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