Investors focused on the Computer and Technology space have likely heard of Cisco Systems (CSCO), 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.
Cisco Systems is one of 647 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #9 in the Zacks Sector Rank. 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 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. CSCO is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for CSCO’s full-year earnings has moved 1.96% higher. This means that analyst sentiment is stronger and the stock’s earnings outlook is improving.
Our latest available data shows that CSCO has returned about 21.30% since the start of the calendar year. At the same time, Computer and Technology stocks have gained an average of 18.41%. As we can see, Cisco Systems is performing better than its sector in the calendar year.
Looking more specifically, CSCO belongs to the Computer – Networking industry, a group that includes 9 individual stocks and currently sits at #109 in the Zacks Industry Rank. This group has gained an average of 22.54% so far this year, so CSCO is slightly underperforming its industry in this area.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to CSCO as it looks to continue its solid performance.