Are Computer and Technology Stocks Lagging Okta (OKTA) 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 Okta (OKTA) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.
Okta is one of 622 companies in the Computer and Technology group. The Computer and Technology group currently sits at #9 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Okta is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for OKTA's full-year earnings has moved 2.2% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the most recent data, OKTA has returned 18.5% so far this year. At the same time, Computer and Technology stocks have gained an average of 9.7%. This means that Okta is performing better than its sector in terms of year-to-date returns.
Another stock in the Computer and Technology sector, AXT (AXTI), has outperformed the sector so far this year. The stock's year-to-date return is 78.8%.
In AXT's case, the consensus EPS estimate for the current year increased 50% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Okta is a member of the Internet - Software and Services industry, which includes 11 individual companies and currently sits at #86 in the Zacks Industry Rank. On average, this group has gained an average of 13.8% so far this year, meaning that OKTA is performing better in terms of year-to-date returns.
On the other hand, AXT belongs to the Electronics - Semiconductors industry. This 41-stock industry is currently ranked #198. The industry has moved +17.1% year to date.
Okta and AXT could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.
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Okta, Inc. (OKTA) : Free Stock Analysis Report
AXT Inc (AXTI) : Free Stock Analysis Report
