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 Dell Technologies (DELL) 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.
Dell Technologies is a member of our Computer and Technology group, which includes 596 different companies and currently sits at #2 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 is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Dell Technologies is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for DELL's full-year earnings has moved 13% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that DELL has returned about 106.9% since the start of the calendar year. Meanwhile, stocks in the Computer and Technology group have gained about 16.7% on average. This shows that Dell Technologies is outperforming its peers so far this year.
One other Computer and Technology stock that has outperformed the sector so far this year is Allient (ALNT). The stock is up 24.1% year-to-date.
The consensus estimate for Allient's current year EPS has increased 4.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Dell Technologies belongs to the Computer - Micro Computers industry, a group that includes 5 individual stocks and currently sits at #20 in the Zacks Industry Rank. This group has gained an average of 10% so far this year, so DELL is performing better in this area.
In contrast, Allient falls under the Electronics - Miscellaneous Components industry. Currently, this industry has 27 stocks and is ranked #62. Since the beginning of the year, the industry has moved -12.4%.
Dell Technologies and Allient could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.
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This article originally published on Zacks Investment Research (zacks.com).