Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Dell Technologies (DELL) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? 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.
Dell Technologies is one of 620 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #5 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.
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. Dell Technologies is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for DELL's full-year earnings has moved 0.9% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, DELL has returned 57.7% so far this year. Meanwhile, the Computer and Technology sector has returned an average of 27.3% on a year-to-date basis. This means that Dell Technologies is outperforming the sector as a whole this year.
One other Computer and Technology stock that has outperformed the sector so far this year is Manhattan Associates (MANH). The stock is up 27.9% year-to-date.
For Manhattan Associates, the consensus EPS estimate for the current year has increased 13% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Dell Technologies belongs to the Computer - Micro Computers industry, a group that includes 4 individual stocks and currently sits at #207 in the Zacks Industry Rank. On average, this group has gained an average of 22% so far this year, meaning that DELL is performing better in terms of year-to-date returns.
In contrast, Manhattan Associates falls under the Computer - Software industry. Currently, this industry has 33 stocks and is ranked #89. Since the beginning of the year, the industry has moved +14.9%.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Dell Technologies and Manhattan Associates as they could maintain their solid performance.
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