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Are Computer and Technology Stocks Lagging NVIDIA (NVDA) This Year?

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The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Nvidia (NVDA - 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.

Nvidia is a member of the Computer and Technology sector. This group includes 618 individual stocks and currently holds a Zacks Sector Rank of #5. 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. Nvidia is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for NVDA's full-year earnings has moved 21.9% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, NVDA has gained about 60.9% so far this year. At the same time, Computer and Technology stocks have gained an average of 8.2%. As we can see, Nvidia 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 Onto Innovation (ONTO - Free Report) . The stock is up 15.6% year-to-date.

In Onto Innovation's case, the consensus EPS estimate for the current year increased 2.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Nvidia belongs to the Semiconductor - General industry, a group that includes 8 individual stocks and currently sits at #166 in the Zacks Industry Rank. This group has gained an average of 42.2% so far this year, so NVDA is performing better in this area.

Onto Innovation, however, belongs to the Nanotechnology industry. Currently, this 2-stock industry is ranked #20. The industry has moved +15% so far this year.

Investors with an interest in Computer and Technology stocks should continue to track Nvidia and Onto Innovation. These stocks will be looking to continue their solid performance.


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