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Has Dropbox (DBX) Outpaced Other Computer and Technology Stocks This Year?

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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. Is Dropbox (DBX - Free Report) one of those stocks right now? 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.

Dropbox is a member of our Computer and Technology group, which includes 627 different companies and currently sits 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 is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. DBX is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for DBX's full-year earnings has moved 145.72% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that DBX has returned about 5.81% since the start of the calendar year. In comparison, Computer and Technology companies have returned an average of 2.58%. This means that Dropbox is outperforming the sector as a whole this year.

Looking more specifically, DBX belongs to the Internet - Services industry, which includes 50 individual stocks and currently sits at #116 in the Zacks Industry Rank. This group has gained an average of 13.13% so far this year, so DBX is slightly underperforming its industry in this area.

Investors with an interest in Computer and Technology stocks should continue to track DBX. The stock will be looking to continue its solid performance.


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