Is Dropbox (DBX) Outperforming Other Computer and Technology Stocks This Year?
Investors focused on the Computer and Technology space have likely heard of Dropbox (DBX), 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 DBX and the rest of the Computer and Technology group's stocks.
Dropbox is a member of the Computer and Technology sector. This group includes 612 individual stocks and currently holds a Zacks Sector Rank of #5. 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. DBX is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for DBX's full-year earnings has moved 196.30% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, DBX has returned 22.73% so far this year. In comparison, Computer and Technology companies have returned an average of 10.72%. This means that Dropbox is performing better than its sector in terms of year-to-date returns.
Breaking things down more, DBX is a member of the Internet - Services industry, which includes 48 individual companies and currently sits at #57 in the Zacks Industry Rank. This group has gained an average of 12.21% so far this year, so DBX is performing better in this area.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to DBX as it looks to continue its solid performance.
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