Are Computer and Technology Stocks Lagging Applied Optoelectronics (AAOI) This Year?
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 Applied Optoelectronics (AAOI) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
Applied Optoelectronics is one of 633 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #9 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. Applied Optoelectronics is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for AAOI's full-year earnings has moved 28.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, AAOI has returned 501.1% so far this year. At the same time, Computer and Technology stocks have gained an average of 38.2%. This shows that Applied Optoelectronics is outperforming its peers so far this year.
Axcelis Technologies (ACLS) is another Computer and Technology stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 125.2%.
For Axcelis Technologies, the consensus EPS estimate for the current year has increased 8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Breaking things down more, Applied Optoelectronics is a member of the Electronics - Semiconductors industry, which includes 41 individual companies and currently sits at #188 in the Zacks Industry Rank. On average, stocks in this group have gained 42.1% this year, meaning that AAOI is performing better in terms of year-to-date returns.
In contrast, Axcelis Technologies falls under the Electronics - Manufacturing Machinery industry. Currently, this industry has 9 stocks and is ranked #112. Since the beginning of the year, the industry has moved +32.7%.
Investors with an interest in Computer and Technology stocks should continue to track Applied Optoelectronics and Axcelis Technologies. These stocks will be looking to continue their solid performance.
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Applied Optoelectronics, Inc. (AAOI) : Free Stock Analysis Report
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