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. Apple (AAPL - Free Report) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? One simple way to answer this question is to take a look at the year-to-date performance of AAPL and the rest of the Computer and Technology group's stocks.
Apple is a member of the Computer and Technology sector. This group includes 625 individual stocks and currently holds a Zacks Sector Rank of #3. 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 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. AAPL is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for AAPL's full-year earnings has moved 2.45% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, AAPL has moved about 30.77% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of 10.33%. This means that Apple is outperforming the sector as a whole this year.
To break things down more, AAPL belongs to the Computer - Mini computers industry, a group that includes 4 individual companies and currently sits at #1 in the Zacks Industry Rank. This group has gained an average of 32.04% so far this year, so AAPL is slightly underperforming its industry in this area.
Investors in the Computer and Technology sector will want to keep a close eye on AAPL as it attempts to continue its solid performance.