Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Applied Materials (AMAT) 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? One simple way to answer this question is to take a look at the year-to-date performance of AMAT and the rest of the Computer and Technology group's stocks.
Applied Materials is one of 634 companies in the Computer and Technology group. The Computer and Technology group currently sits at #6 within the Zacks Sector Rank. 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. AMAT is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for AMAT's full-year earnings has moved 1.24% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that AMAT has returned about 28.22% since the start of the calendar year. Meanwhile, the Computer and Technology sector has returned an average of 17.45% on a year-to-date basis. As we can see, Applied Materials is performing better than its sector in the calendar year.
Breaking things down more, AMAT is a member of the Semiconductor Equipment - Wafer Fabrication industry, which includes 5 individual companies and currently sits at #186 in the Zacks Industry Rank. This group has gained an average of 31.33% so far this year, so AMAT is slightly underperforming its industry in this area.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to AMAT as it looks to continue its solid performance.
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