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Is Check Point Software Technologies (CHKP) Stock Outpacing Its Computer and Technology Peers 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. Has Check Point Software (CHKP - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Check Point Software is a member of the Computer and Technology sector. This group includes 609 individual stocks and currently holds a Zacks Sector Rank of #6. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Check Point Software is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for CHKP's full-year earnings has moved 0.9% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, CHKP has returned 15.1% so far this year. Meanwhile, stocks in the Computer and Technology group have lost about 17.1% on average. This means that Check Point Software is performing better than its sector in terms of year-to-date returns.

Ericsson (ERIC - Free Report) 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 1.4%.

For Ericsson, the consensus EPS estimate for the current year has increased 14.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Check Point Software belongs to the Security industry, which includes 5 individual stocks and currently sits at #73 in the Zacks Industry Rank. This group has gained an average of 1.7% so far this year, so CHKP is performing better in this area.

Ericsson, however, belongs to the Wireless Equipment industry. Currently, this 12-stock industry is ranked #35. The industry has moved -3.1% so far this year.

Investors interested in the Computer and Technology sector may want to keep a close eye on Check Point Software and Ericsson as they attempt to continue their solid performance.


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