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. CTS (CTS) 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? 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.
CTS is one of 666 companies in the Computer and Technology group. The Computer and Technology group currently sits at #8 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. CTS is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for CTS’ full-year earnings has moved 12.7% higher within the past quarter. This means that analyst sentiment is stronger and the stock’s earnings outlook is improving.
Based on the most recent data, CTS has returned 0.9% so far this year. At the same time, Computer and Technology stocks have lost an average of 39.2%. This means that CTS is outperforming the sector as a whole this year.
Amdocs (DOX) 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 14.2%.
Over the past three months, Amdocs’ consensus EPS estimate for the current year has increased 1.3%. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, CTS belongs to the Electronics – Miscellaneous Components industry, a group that includes 27 individual companies and currently sits at #166 in the Zacks Industry Rank. On average, this group has lost an average of 24.1% so far this year, meaning that CTS is performing better in terms of year-to-date returns.
On the other hand, Amdocs belongs to the Computers – IT Services industry. This 40-stock industry is currently ranked #87. The industry has moved -31.3% year to date.
CTS and Amdocs 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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CTS Corporation (CTS): Free Stock Analysis Report
Amdocs Limited (DOX): 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.