The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Akamai Technologies (AKAM - 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? 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.
Akamai Technologies is one of 630 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 groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.
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. AKAM is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for AKAM's full-year earnings has moved 3.79% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, AKAM has moved about 36.44% on a year-to-date basis. Meanwhile, stocks in the Computer and Technology group have gained about 31.21% on average. This shows that Akamai Technologies is outperforming its peers so far this year.
Looking more specifically, AKAM belongs to the Internet - Services industry, which includes 54 individual stocks and currently sits at #95 in the Zacks Industry Rank. On average, stocks in this group have gained 11.07% this year, meaning that AKAM is performing better in terms of year-to-date returns.
Investors in the Computer and Technology sector will want to keep a close eye on AKAM as it attempts to continue its solid performance.