The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Western Digital (WDC) 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? One simple way to answer this question is to take a look at the year-to-date performance of WDC and the rest of the Computer and Technology group’s stocks.
Western Digital is one of 630 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #15 in 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 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. WDC is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for WDC’s full-year earnings has moved 30.10% higher. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.
Our latest available data shows that WDC has returned about 26.68% since the start of the calendar year. At the same time, Computer and Technology stocks have gained an average of 20.76%. This shows that Western Digital is outperforming its peers so far this year.
Looking more specifically, WDC belongs to the Computer- Storage Devices industry, a group that includes 8 individual stocks and currently sits at #234 in the Zacks Industry Rank. On average, stocks in this group have gained 21.68% this year, meaning that WDC is performing better in terms of year-to-date returns.
WDC will likely be looking to continue its solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to the company.