Has Nokia (NOK) Outpaced Other Computer and Technology Stocks This Year?
The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Nokia (NOK) 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? One simple way to answer this question is to take a look at the year-to-date performance of NOK and the rest of the Computer and Technology group's stocks.
Nokia is one of 605 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #7 in 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 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. NOK is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for NOK's full-year earnings has moved 2.64% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that NOK has returned about 36.39% since the start of the calendar year. Meanwhile, the Computer and Technology sector has returned an average of 20.68% on a year-to-date basis. As we can see, Nokia is performing better than its sector in the calendar year.
Looking more specifically, NOK belongs to the Wireless Equipment industry, which includes 15 individual stocks and currently sits at #123 in the Zacks Industry Rank. This group has gained an average of 17.54% so far this year, so NOK is performing better in this area.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to NOK as it looks to continue its solid performance.
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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.