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. Has Monolithic Power (MPWR) 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.
Monolithic Power is one of 601 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 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 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. Monolithic Power is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for MPWR's full-year earnings has moved 1.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, MPWR has returned 56.2% so far this year. At the same time, Computer and Technology stocks have gained an average of 27.4%. This shows that Monolithic Power is outperforming its peers so far this year.
Another Computer and Technology stock, which has outperformed the sector so far this year, is Advanced Energy Industries (AEIS). The stock has returned 84.6% year-to-date.
For Advanced Energy Industries, the consensus EPS estimate for the current year has increased 10.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Monolithic Power belongs to the Semiconductor - Analog and Mixed industry, a group that includes 10 individual companies and currently sits at #31 in the Zacks Industry Rank. This group has gained an average of 20.3% so far this year, so MPWR is performing better in this area.
On the other hand, Advanced Energy Industries belongs to the Semiconductor Equipment - Wafer Fabrication industry. This 2-stock industry is currently ranked #8. The industry has moved +55.2% year to date.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Monolithic Power and Advanced Energy Industries as they could maintain their solid performance.
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Monolithic Power Systems, Inc. (MPWR): Free Stock Analysis Report Advanced Energy Industries, Inc. (AEIS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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