The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Check Point Software (CHKP) 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.
Check Point Software is one of 620 companies in the Computer and Technology group. The Computer and Technology group currently sits at #6 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. Check Point Software is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for CHKP's full-year earnings has moved 0.1% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, CHKP has moved about 34.4% on a year-to-date basis. Meanwhile, stocks in the Computer and Technology group have gained about 26.2% on average. This means that Check Point Software is performing better than its sector in terms of year-to-date returns.
Another stock in the Computer and Technology sector, Cirrus Logic (CRUS), has outperformed the sector so far this year. The stock's year-to-date return is 43.2%.
In Cirrus Logic's case, the consensus EPS estimate for the current year increased 13.1% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Check Point Software belongs to the Computers - IT Services industry, a group that includes 40 individual companies and currently sits at #51 in the Zacks Industry Rank. This group has gained an average of 9.2% so far this year, so CHKP is performing better in this area.
On the other hand, Cirrus Logic belongs to the Electronics - Semiconductors industry. This 44-stock industry is currently ranked #95. The industry has moved +39.2% year to date.
Investors with an interest in Computer and Technology stocks should continue to track Check Point Software and Cirrus Logic. These stocks will be looking to continue their solid performance.
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Today, See These 5 Potential Home Runs >>Check Point Software Technologies Ltd. (CHKP) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
