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Are Computer and Technology Stocks Lagging Cerence (CRNC) 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 Cerence (CRNC - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Cerence is one of 637 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 sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. Cerence is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for CRNC's full-year earnings has moved 37.9% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, CRNC has returned 55.5% so far this year. Meanwhile, stocks in the Computer and Technology group have gained about 38.5% on average. As we can see, Cerence is performing better than its sector in the calendar year.

One other Computer and Technology stock that has outperformed the sector so far this year is CrowdStrike Holdings (CRWD - Free Report) . The stock is up 38.8% year-to-date.

For CrowdStrike Holdings, the consensus EPS estimate for the current year has increased 150.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Cerence belongs to the Computers - IT Services industry, a group that includes 39 individual companies and currently sits at #104 in the Zacks Industry Rank. On average, this group has gained an average of 15.3% so far this year, meaning that CRNC is performing better in terms of year-to-date returns.

CrowdStrike Holdings, however, belongs to the Internet - Software industry. Currently, this 147-stock industry is ranked #57. The industry has moved +55.5% so far this year.

Cerence and CrowdStrike Holdings 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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