Investors focused on the Computer and Technology space have likely heard of Zoom Video Communications (ZM), 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.
Zoom Video Communications is one of 604 companies in the Computer and Technology group. The Computer and Technology group currently sits at #7 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
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. ZM is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for ZM’s full-year earnings has moved 93.29% higher. This means that analyst sentiment is stronger and the stock’s earnings outlook is improving.
According to our latest data, ZM has moved about 460.43% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of 18.01%. As we can see, Zoom Video Communications is performing better than its sector in the calendar year.
To break things down more, ZM belongs to the Internet – Software industry, a group that includes 90 individual companies and currently sits at #166 in the Zacks Industry Rank. On average, this group has gained an average of 70.58% so far this year, meaning that ZM is performing better in terms of year-to-date returns.
Investors with an interest in Computer and Technology stocks should continue to track ZM. The stock will be looking to continue its solid performance.
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