Investors focused on the Computer and Technology space have likely heard of International Business Machines (IBM), but is the stock performing well in comparison to the rest of its sector peers? 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.
International Business Machines is one of 621 companies in the Computer and Technology group. The Computer and Technology group currently sits at #11 within 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. IBM is currently sporting a Zacks Rank of #3 (Hold).
Over the past 90 days, the Zacks Consensus Estimate for IBM's full-year earnings has moved -2.72% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Based on the most recent data, IBM has returned 14.99% so far this year. In comparison, Computer and Technology companies have returned an average of 12.63%. This shows that International Business Machines is outperforming its peers so far this year.
To break things down more, IBM belongs to the Computer - Integrated Systems industry, a group that includes 9 individual companies and currently sits at #209 in the Zacks Industry Rank. On average, stocks in this group have gained 16.73% this year, meaning that IBM is slightly underperforming its industry in terms of year-to-date returns.
Investors with an interest in Computer and Technology stocks should continue to track IBM. The stock will be looking to continue its solid performance.
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