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Is Salesforce (CRM) Outperforming Other Computer and Technology Stocks 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. Is Salesforce.com (CRM - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

Salesforce.com is a member of the Computer and Technology sector. This group includes 625 individual stocks and currently holds a Zacks Sector Rank of #5. 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 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. Salesforce.com is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for CRM's full-year earnings has moved 11.3% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the latest available data, CRM has gained about 62.4% so far this year. At the same time, Computer and Technology stocks have gained an average of 41.6%. As we can see, Salesforce.com is performing better than its sector in the calendar year.

Datadog (DDOG - Free Report) is another Computer and Technology stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 41.8%.

The consensus estimate for Datadog's current year EPS has increased 280% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Salesforce.com belongs to the Computer - Software industry, a group that includes 37 individual companies and currently sits at #65 in the Zacks Industry Rank. Stocks in this group have gained about 50.4% so far this year, so CRM is performing better this group in terms of year-to-date returns.

On the other hand, Datadog belongs to the Internet - Software industry. This 147-stock industry is currently ranked #56. The industry has moved +49.9% year to date.

Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Salesforce.com and Datadog as they could maintain their solid performance.


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