The Computer and Technology group is brimming with stocks, but investors should be on the lookout for companies outpacing their peers. Take Cloudflare (NET), for example. It belongs to the Computer and Technology sector, which includes 643 individual stocks and currently holds a Zacks Sector Rank of #10. Cloudflare's year-to-date performance shows that it has returned about 38.2%, beating the sector's average of 18% on a year-to-date basis.
Looking at the industry level, Cloudflare belongs to the Internet – Software industry, which includes 146 individual stocks and currently sits at #66 in the Zacks Industry Rank. On average, this group has gained an average of 25.5% so far this year, meaning that NET is performing better in terms of year-to-date returns.
If you're interested in investing in the Computer and Technology sector, you might want to keep an eye on Cloudflare as it attempts to continue its solid performance. Cloudflare is set to release its first-quarter fiscal 2023 results on Apr 27, after the market closes. Our proven model predicts an earnings beat for Cloudflare this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here.
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