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 Vipshop Holdings (VIPS) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Computer and Technology sector should help us answer this question.
Vipshop Holdings is one of 638 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #8 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 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. VIPS is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for VIPS's full-year earnings has moved 16.96% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that VIPS has returned about 54.03% since the start of the calendar year. In comparison, Computer and Technology companies have returned an average of 19.91%. This means that Vipshop Holdings is outperforming the sector as a whole this year.
Breaking things down more, VIPS is a member of the Internet - Delivery Services industry, which includes 8 individual companies and currently sits at #199 in the Zacks Industry Rank. This group has lost an average of 4.51% so far this year, so VIPS is performing better in this area.
Investors in the Computer and Technology sector will want to keep a close eye on VIPS as it attempts to continue its solid performance.
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