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. Avnet (AVT) 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? 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.
Avnet is a member of the Computer and Technology sector. This group includes 596 individual stocks and currently holds a Zacks Sector Rank of #2. 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 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. Avnet is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for AVT's full-year earnings has moved 2.8% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
According to our latest data, AVT has moved about 71.6% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of 9.8%. This shows that Avnet is outperforming its peers so far this year.
Another Computer and Technology stock, which has outperformed the sector so far this year, is BlackBerry (BB). The stock has returned 42.5% year-to-date.
In BlackBerry's case, the consensus EPS estimate for the current year increased 8.1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Avnet is a member of the Electronics - Parts Distribution industry, which includes 4 individual companies and currently sits at #19 in the Zacks Industry Rank. This group has gained an average of 55.1% so far this year, so AVT is performing better in this area.
On the other hand, BlackBerry belongs to the Internet - Software industry. This 171-stock industry is currently ranked #73. The industry has moved -13.8% year to date.
Investors with an interest in Computer and Technology stocks should continue to track Avnet and BlackBerry. These stocks will be looking to continue their solid performance.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See Stocks Now >>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
Avnet, Inc. (AVT): Free Stock Analysis Report
BlackBerry Limited (BB): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).