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. Is KLA-Tencor (KLAC - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Computer and Technology peers, we might be able to answer that question.
KLA-Tencor is a member of the Computer and Technology sector. This group includes 629 individual stocks and currently holds a Zacks Sector Rank of #5. 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. KLAC is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for KLAC's full-year earnings has moved 3.84% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, KLAC has returned 82.53% so far this year. In comparison, Computer and Technology companies have returned an average of 29.78%. This means that KLA-Tencor is performing better than its sector in terms of year-to-date returns.
To break things down more, KLAC belongs to the Electronics - Miscellaneous Products industry, a group that includes 17 individual companies and currently sits at #69 in the Zacks Industry Rank. On average, stocks in this group have gained 46.25% this year, meaning that KLAC is performing better in terms of year-to-date returns.
KLAC 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.