Investors focused on the Computer and Technology space have likely heard of KLA-Tencor (KLAC), but is the stock performing well in comparison to the rest of its sector peers? By taking a look at the stock's year-to-date performance in comparison to its Computer and Technology peers, we might be able to answer that question.
KLA-Tencor is one of 641 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #6 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 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. KLAC is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for KLAC's full-year earnings has moved 0.80% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that KLAC has returned about 40.75% since the start of the calendar year. In comparison, Computer and Technology companies have returned an average of 22.36%. This shows that KLA-Tencor is outperforming its peers so far this year.
Looking more specifically, KLAC belongs to the Semiconductor Equipment - Wafer Fabrication industry, a group that includes 5 individual stocks and currently sits at #94 in the Zacks Industry Rank. On average, this group has gained an average of 38.66% so far this year, meaning that KLAC is performing better in terms of year-to-date returns.
KLAC will likely be looking to continue its solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to the company.
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