The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Advantest Corp. (ATEYY) been one of those stocks this year? 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.
Advantest Corp. is a member of the Computer and Technology sector. This group includes 608 individual stocks and currently holds a Zacks Sector Rank of #4. 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 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. Advantest Corp. is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for ATEYY's full-year earnings has moved 2.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that ATEYY has returned about 2.5% since the start of the calendar year. In comparison, Computer and Technology companies have returned an average of 1.3%. This means that Advantest Corp. 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 Broadcom Inc. (AVGO). The stock is up 2% year-to-date.
Over the past three months, Broadcom Inc.'s consensus EPS estimate for the current year has increased 4.5%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Advantest Corp. belongs to the Electronics - Measuring Instruments industry, which includes 5 individual stocks and currently sits at #46 in the Zacks Industry Rank. Stocks in this group have gained about 9.5% so far this year, so ATEYY is slightly underperforming its industry this group in terms of year-to-date returns.
In contrast, Broadcom Inc. falls under the Electronics - Semiconductors industry. Currently, this industry has 44 stocks and is ranked #142. Since the beginning of the year, the industry has moved +2.2%.
Investors with an interest in Computer and Technology stocks should continue to track Advantest Corp. and Broadcom Inc. These stocks will be looking to continue their solid performance.
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