Has STMicroelectronics N.V. (STM) Outpaced Other Computer and Technology Stocks This Year?September 24, 2020
Investors focused on the Computer and Technology space have likely heard of STMicroelectronics N.V. (STM), 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.
STMicroelectronics N.V. is a member of the Computer and Technology sector. This group includes 601 individual stocks and currently holds a Zacks Sector Rank of #8. 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 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. STM is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for STM’s full-year earnings has moved 18.53% higher. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.
Our latest available data shows that STM has returned about 8.62% since the start of the calendar year. At the same time, Computer and Technology stocks have gained an average of 17.96%. This means that STMicroelectronics N.V. is outperforming the sector as a whole this year.
Looking more specifically, STM belongs to the Semiconductor – General industry, which includes 8 individual stocks and currently sits at #236 in the Zacks Industry Rank. This group has gained an average of 22.76% so far this year, so STM is slightly underperforming its industry in this area.
Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to STM as it looks to continue its solid performance.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.