The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Arrow Electronics (ARW) been one of those stocks this year? 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.
Arrow Electronics is one of 608 companies in the Computer and Technology group. The Computer and Technology group currently sits at #7 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. Arrow Electronics is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for ARW's full-year earnings has moved 10.3% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, ARW has gained about 40% so far this year. Meanwhile, stocks in the Computer and Technology group have gained about 0.2% on average. As we can see, Arrow Electronics is performing better than its sector in the calendar year.
One other Computer and Technology stock that has outperformed the sector so far this year is DigitalOcean Holdings, Inc. (DOCN). The stock is up 23.2% year-to-date.
Over the past three months, DigitalOcean Holdings, Inc.'s consensus EPS estimate for the current year has increased 2.2%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Arrow Electronics belongs to the Electronics - Parts Distribution industry, which includes 4 individual stocks and currently sits at #22 in the Zacks Industry Rank. On average, this group has gained an average of 29.8% so far this year, meaning that ARW is performing better in terms of year-to-date returns.
In contrast, DigitalOcean Holdings, Inc. falls under the Internet - Software industry. Currently, this industry has 173 stocks and is ranked #87. Since the beginning of the year, the industry has moved -13.1%.
Arrow Electronics and DigitalOcean Holdings, Inc. 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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Arrow Electronics, Inc. (ARW): Free Stock Analysis Report DigitalOcean Holdings, Inc. (DOCN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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