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Is Cree (CREE) Outperforming Other Computer and Technology Stocks This Year?

Zacks Equity Research
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Investors focused on the Computer and Technology space have likely heard of Cree (CREE), but is the stock performing well in comparison to the rest of its sector peers? One simple way to answer this question is to take a look at the year-to-date performance of CREE and the rest of the Computer and Technology group's stocks.

Cree is one of 646 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #4 in 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. CREE is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for CREE's full-year earnings has moved 10.53% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Our latest available data shows that CREE has returned about 22.03% since the start of the calendar year. Meanwhile, stocks in the Computer and Technology group have gained about 10.98% on average. As we can see, Cree is performing better than its sector in the calendar year.

Looking more specifically, CREE belongs to the Semiconductor - Discretes industry, which includes 3 individual stocks and currently sits at #108 in the Zacks Industry Rank. On average, this group has gained an average of 21.62% so far this year, meaning that CREE is performing better in terms of year-to-date returns.

Investors with an interest in Computer and Technology stocks should continue to track CREE. The stock will be looking to continue its solid performance.


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