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Has PayPal Holdings (PYPL) Outpaced Other Computer and Technology Stocks 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. Has PayPal Holdings (PYPL - 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.

PayPal Holdings is a member of the Computer and Technology sector. This group includes 623 individual stocks and currently holds a Zacks Sector Rank of #3. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

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. PYPL is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for PYPL's full-year earnings has moved 0.53% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, PYPL has gained about 21.73% so far this year. At the same time, Computer and Technology stocks have gained an average of 12.17%. As we can see, PayPal Holdings is performing better than its sector in the calendar year.

Looking more specifically, PYPL belongs to the Internet - Software industry, a group that includes 70 individual stocks and currently sits at #90 in the Zacks Industry Rank. On average, this group has gained an average of 26.69% so far this year, meaning that PYPL is slightly underperforming its industry in terms of year-to-date returns.

Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to PYPL as it looks to continue its solid performance.


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