Investors focused on the Computer and Technology space have likely heard of Square (SQ - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? 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.
Square is one of 629 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #5 in the Zacks Sector Rank. 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. SQ is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for SQ's full-year earnings has moved 1.21% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, SQ has gained about 9.72% so far this year. In comparison, Computer and Technology companies have returned an average of 27.94%. This means that Square is outperforming the sector as a whole this year.
Looking more specifically, SQ belongs to the Internet - Software industry, a group that includes 91 individual stocks and currently sits at #89 in the Zacks Industry Rank. On average, this group has gained an average of 13.96% so far this year, meaning that SQ 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 SQ as it looks to continue its solid performance.