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. Mitek Systems (MITK - 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 MITK and the rest of the Computer and Technology group's stocks.
Mitek Systems is a member of our Computer and Technology group, which includes 647 different companies and currently sits 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 is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. MITK is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for MITK's full-year earnings has moved 5.56% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, MITK has gained about 4.35% so far this year. In comparison, Computer and Technology companies have returned an average of 4.23%. This means that Mitek Systems is outperforming the sector as a whole this year.
To break things down more, MITK belongs to the Computer - Optical Imaging industry, a group that includes 1 individual companies and currently sits at #2 in the Zacks Industry Rank. Stocks in this group have gained about 4.35% so far this year, so MITK is performing on par this group in terms of year-to-date returns.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to MITK as it looks to continue its solid performance.