The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Palo Alto Networks (PANW - 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 PANW and the rest of the Computer and Technology group's stocks.
Palo Alto Networks is one of 640 companies in the Computer and Technology group. The Computer and Technology group currently sits at #4 within the Zacks Sector Rank. 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 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. PANW is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for PANW's full-year earnings has moved 34.13% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the latest available data, PANW has gained about 28% so far this year. Meanwhile, stocks in the Computer and Technology group have gained about 24.16% on average. This means that Palo Alto Networks is performing better than its sector in terms of year-to-date returns.
Looking more specifically, PANW belongs to the Security industry, a group that includes 11 individual stocks and currently sits at #50 in the Zacks Industry Rank. On average, this group has gained an average of 25.12% so far this year, meaning that PANW is performing better in terms of year-to-date returns.
PANW will likely be looking to continue its solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to the company.