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

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Investors focused on the Computer and Technology space have likely heard of Zoom Video Communications (ZM - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? Let's take a closer look at the stock's year-to-date performance to find out.

Zoom Video Communications is a member of the Computer and Technology sector. This group includes 630 individual stocks and currently holds a Zacks Sector Rank of #4. 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. ZM is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for ZM's full-year earnings has moved 115.63% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, ZM has moved about 67.18% on a year-to-date basis. In comparison, Computer and Technology companies have returned an average of -10.89%. This means that Zoom Video Communications is performing better than its sector in terms of year-to-date returns.

Breaking things down more, ZM is a member of the Internet - Software industry, which includes 91 individual companies and currently sits at #154 in the Zacks Industry Rank. On average, stocks in this group have lost 5.01% this year, meaning that ZM is performing better in terms of year-to-date returns.

Investors in the Computer and Technology sector will want to keep a close eye on ZM as it attempts to continue its solid performance.


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