For those looking to find strong Computer and Technology stocks, it is prudent to search for companies in the group that are outperforming their peers. Is EXFO (EXFO – Free Report) one of those stocks right now? 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.
EXFO is a member of the Computer and Technology sector. This group includes 638 individual stocks and currently holds a Zacks Sector Rank of #7. 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 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. EXFO is currently sporting a Zacks Rank of #1 (Strong Buy).
The Zacks Consensus Estimate for EXFO’s full-year earnings has moved 5.13% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Our latest available data shows that EXFO has returned about 48.94% since the start of the calendar year. At the same time, Computer and Technology stocks have gained an average of 18.10%. This means that EXFO is outperforming the sector as a whole this year.
To break things down more, EXFO belongs to the Communication – Components industry, a group that includes 20 individual companies and currently sits at #103 in the Zacks Industry Rank. On average, stocks in this group have gained 17.86% this year, meaning that EXFO is performing better in terms of year-to-date returns.
EXFO 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.