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Has International Business Machines (IBM) Outpaced 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 IBM (IBM - 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.

IBM is a member of the Computer and Technology sector. This group includes 605 individual stocks and currently holds a Zacks Sector Rank of #5. 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. IBM is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for IBM's full-year earnings has moved 0.8% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that IBM has returned about 18.2% since the start of the calendar year. Meanwhile, the Computer and Technology sector has returned an average of 11.1% on a year-to-date basis. This means that IBM is outperforming the sector as a whole this year.

One other Computer and Technology stock that has outperformed the sector so far this year is Credo Technology Group Holding Ltd. (CRDO - Free Report) . The stock is up 50.6% year-to-date.

For Credo Technology Group Holding Ltd., the consensus EPS estimate for the current year has increased 43.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, IBM belongs to the Computer - Integrated Systems industry, which includes 10 individual stocks and currently sits at #51 in the Zacks Industry Rank. On average, this group has gained an average of 27.5% so far this year, meaning that IBM is slightly underperforming its industry in terms of year-to-date returns.

Credo Technology Group Holding Ltd., however, belongs to the Electronics - Semiconductors industry. Currently, this 44-stock industry is ranked #65. The industry has moved +18.2% so far this year.

IBM and Credo Technology Group Holding Ltd. 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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