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Is Zoom Video Communications (ZM) Stock Outpacing Its Computer and Technology Peers This Year?

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Investors interested in Computer and Technology stocks should always be looking to find the best-performing companies in the group. Has Zoom Video Communications (ZM - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Zoom Video Communications is one of 602 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #8 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.

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. ZM is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for ZM's full-year earnings has moved 93.29% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

According to our latest data, ZM has moved about 544.81% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of 19.81%. This means that Zoom Video Communications is outperforming the sector as a whole this year.

Looking more specifically, ZM belongs to the Internet - Software industry, which includes 89 individual stocks and currently sits at #167 in the Zacks Industry Rank. Stocks in this group have gained about 63.09% so far this year, so ZM is performing better this group in terms of year-to-date returns.

ZM 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.


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