Investors focused on the Computer and Technology space have likely heard of Chegg (CHGG - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? 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.
Chegg is one of 613 companies in the Computer and Technology group. The Computer and Technology group currently sits at #2 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
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. CHGG is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for CHGG's full-year earnings has moved 37.16% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that CHGG has returned about 70.96% since the start of the calendar year. Meanwhile, stocks in the Computer and Technology group have lost about 1.84% on average. This means that Chegg is outperforming the sector as a whole this year.
To break things down more, CHGG belongs to the Internet - Software industry, a group that includes 90 individual companies and currently sits at #38 in the Zacks Industry Rank. This group has gained an average of 20.03% so far this year, so CHGG is performing better in this area.
CHGG 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.