Are Computer and Technology Stocks Lagging Hewlett Packard (HPE) This Year?
Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Has Hewlett Packard Enterprise (HPE) been one of those stocks this year? 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.
Hewlett Packard Enterprise is a member of the Computer and Technology sector. This group includes 613 individual stocks and currently holds a Zacks Sector Rank of #2. 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Hewlett Packard Enterprise is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for HPE's full-year earnings has moved 15.9% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
According to our latest data, HPE has moved about 136% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of 16.9%. This means that Hewlett Packard Enterprise is performing better than its sector in terms of year-to-date returns.
Another Computer and Technology stock, which has outperformed the sector so far this year, is ASE Technology Hldg (ASX). The stock has returned 135.7% year-to-date.
Over the past three months, ASE Technology Hldg's consensus EPS estimate for the current year has increased 9.9%. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Hewlett Packard Enterprise belongs to the Computer - Integrated Systems industry, which includes 11 individual stocks and currently sits at #41 in the Zacks Industry Rank. Stocks in this group have gained about 105.7% so far this year, so HPE is performing better this group in terms of year-to-date returns.
In contrast, ASE Technology Hldg falls under the Electronics - Semiconductors industry. Currently, this industry has 49 stocks and is ranked #46. Since the beginning of the year, the industry has moved +22.9%.
Hewlett Packard Enterprise and ASE Technology Hldg could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.
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This article originally published on Zacks Investment Research (zacks.com).
