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 Chegg (CHGG) one of those stocks right now? 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.
Chegg is one of 611 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #8 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 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. CHGG is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for CHGG's full-year earnings has moved 37.16% 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 CHGG has returned about 84.20% since the start of the calendar year. Meanwhile, the Computer and Technology sector has returned an average of 11.23% on a year-to-date basis. As we can see, Chegg is performing better than its sector in the calendar year.
Looking more specifically, CHGG belongs to the Internet - Software industry, a group that includes 90 individual stocks and currently sits at #40 in the Zacks Industry Rank. On average, this group has gained an average of 49.27% so far this year, meaning that CHGG is performing better in terms of year-to-date returns.
Investors with an interest in Computer and Technology stocks should continue to track CHGG. The stock will be looking to continue its solid performance.
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Chegg, Inc. (CHGG) : Free Stock Analysis Report
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