Is Analog Devices (ADI) Outperforming Other Computer and Technology Stocks This Year?

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. Has Analog Devices (ADI) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Analog Devices is one of 614 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 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 is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Analog Devices is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for ADI's full-year earnings has moved 5.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, ADI has moved about 31.5% on a year-to-date basis. Meanwhile, the Computer and Technology sector has returned an average of 17.6% on a year-to-date basis. As we can see, Analog Devices is performing better than its sector in the calendar year.

Another Computer and Technology stock, which has outperformed the sector so far this year, is ASM International NV (ASMIY). The stock has returned 49.2% year-to-date.

In ASM International NV's case, the consensus EPS estimate for the current year increased 2.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Analog Devices belongs to the Semiconductor - Analog and Mixed industry, a group that includes 10 individual companies and currently sits at #25 in the Zacks Industry Rank. On average, this group has gained an average of 29.3% so far this year, meaning that ADI is performing better in terms of year-to-date returns.

On the other hand, ASM International NV belongs to the Semiconductor - Communications industry. This 1-stock industry is currently ranked #10.

Analog Devices and ASM International NV could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.

Research Chief Names "Single Best Pick to Double"

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research