Back to top

Image: Bigstock

Are Computer and Technology Stocks Lagging Amphenol (APH) This Year?

Read MoreHide Full Article

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. Has Amphenol (APH - Free Report) been one of those stocks this year? 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.

Amphenol is one of 614 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #2 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Amphenol is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for APH's full-year earnings has moved 11.8% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the latest available data, APH has gained about 20.8% so far this year. At the same time, Computer and Technology stocks have gained an average of 16.8%. This means that Amphenol is performing better than its sector in terms of year-to-date returns.

Another stock in the Computer and Technology sector, Advanced Energy Industries (AEIS - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 27.5%.

Over the past three months, Advanced Energy Industries' consensus EPS estimate for the current year has increased 24.3%. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Amphenol belongs to the Electronics - Connectors industry, which includes 2 individual stocks and currently sits at #33 in the Zacks Industry Rank.

Advanced Energy Industries, however, belongs to the Semiconductor Equipment - Wafer Fabrication industry. Currently, this 2-stock industry is ranked #9.

Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Amphenol and Advanced Energy Industries as they could maintain their solid performance.

Published in