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Is Cognyte Software (CGNT) Outperforming Other Computer and Technology Stocks This Year?

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Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Is Cognyte Software Ltd. (CGNT - Free Report) one of those stocks right now? 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.

Cognyte Software Ltd. is a member of our Computer and Technology group, which includes 650 different companies and currently sits at #5 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. Cognyte Software Ltd. is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for CGNT's full-year earnings has moved 28.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, CGNT has returned 25.7% so far this year. Meanwhile, stocks in the Computer and Technology group have gained about 18.7% on average. This shows that Cognyte Software Ltd. is outperforming its peers so far this year.

Another Computer and Technology stock, which has outperformed the sector so far this year, is Aehr Test Systems (AEHR - Free Report) . The stock has returned 82.4% year-to-date.

In Aehr Test Systems' case, the consensus EPS estimate for the current year increased 22% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Cognyte Software Ltd. is a member of the Internet - Software industry, which includes 148 individual companies and currently sits at #75 in the Zacks Industry Rank. This group has gained an average of 33.2% so far this year, so CGNT is slightly underperforming its industry in this area.

On the other hand, Aehr Test Systems belongs to the Electronics - Measuring Instruments industry. This 5-stock industry is currently ranked #100. The industry has moved +8.6% year to date.

Investors with an interest in Computer and Technology stocks should continue to track Cognyte Software Ltd. and Aehr Test Systems. These stocks will be looking to continue their solid performance.


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