Are Computer and Technology Stocks Lagging AAC Technologies (AACAY) This Year?
The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. AAC Technologies Holdings Inc. (AACAY) 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.
AAC Technologies Holdings Inc. is one of 620 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #4 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. AAC Technologies Holdings Inc. is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for AACAY’s full-year earnings has moved 18.2% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, AACAY has moved about 38.4% on a year-to-date basis. Meanwhile, the Computer and Technology sector has returned an average of 24.1% on a year-to-date basis. This means that AAC Technologies Holdings Inc. is performing better than its sector in terms of year-to-date returns.
Another Computer and Technology stock, which has outperformed the sector so far this year, is Commvault Systems (CVLT). The stock has returned 95.6% year-to-date.
The consensus estimate for Commvault Systems’ current year EPS has increased 1.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, AAC Technologies Holdings Inc. belongs to the Electronics – Miscellaneous Components industry, a group that includes 28 individual companies and currently sits at #97 in the Zacks Industry Rank. On average, this group has gained an average of 7.1% so far this year, meaning that AACAY is performing better in terms of year-to-date returns.
Commvault Systems, however, belongs to the Computer – Software industry. Currently, this 32-stock industry is ranked #82. The industry has moved +10.9% so far this year.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to AAC Technologies Holdings Inc. and Commvault Systems as they could maintain their solid performance.
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