Here is how Arista Networks (ANET) and Advanced Energy Industries (AEIS) have performed compared to their sector so far this year.
The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Arista Networks (ANET) one of those stocks right now? 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.
Arista Networks is a member of the Computer and Technology sector. This group includes 597 individual stocks and currently holds a Zacks Sector Rank of #2. 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 system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Arista Networks is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for ANET's full-year earnings has moved 6.9% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that ANET has returned about 16% since the start of the calendar year. At the same time, Computer and Technology stocks have gained an average of 0.3%. As we can see, Arista Networks is performing better than its sector in the calendar year.
One other Computer and Technology stock that has outperformed the sector so far this year is Advanced Energy Industries (AEIS). The stock is up 81% year-to-date.
In Advanced Energy Industries' case, the consensus EPS estimate for the current year increased 13.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
To break things down more, Arista Networks belongs to the Internet - Software industry, a group that includes 171 individual companies and currently sits at #95 in the Zacks Industry Rank. This group has lost an average of 15.4% so far this year, so ANET is performing better in this area.
On the other hand, Advanced Energy Industries belongs to the Semiconductor Equipment - Wafer Fabrication industry. This 2-stock industry is currently ranked #24. The industry has moved +41% year to date.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Arista Networks and Advanced Energy Industries as they could maintain their solid performance.
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