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. Fastly (FSLY) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? One simple way to answer this question is to take a look at the year-to-date performance of FSLY and the rest of the Computer and Technology group’s stocks.
Fastly is a member of our Computer and Technology group, which includes 606 different companies and currently sits at #7 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. FSLY is currently sporting a Zacks Rank of #2 (Buy).
Within the past quarter, the Zacks Consensus Estimate for FSLY’s full-year earnings has moved 41.41% higher. This signals that analyst sentiment is improving and the stock’s earnings outlook is more positive.
Based on the most recent data, FSLY has returned 292.63% so far this year. Meanwhile, the Computer and Technology sector has returned an average of 14.02% on a year-to-date basis. As we can see, Fastly is performing better than its sector in the calendar year.
To break things down more, FSLY belongs to the Internet – Software industry, a group that includes 91 individual companies and currently sits at #97 in the Zacks Industry Rank. This group has gained an average of 48.58% so far this year, so FSLY is performing better in this area.
FSLY 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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