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Is Onto Innovation (ONTO) Stock Outpacing Its Computer and Technology Peers This Year?

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The Computer and Technology group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Onto Innovation (ONTO - 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.

Onto Innovation is a member of our Computer and Technology group, which includes 621 different companies and currently sits at #4 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Onto Innovation is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for ONTO's full-year earnings has moved 2.7% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

According to our latest data, ONTO has moved about 36.3% on a year-to-date basis. At the same time, Computer and Technology stocks have gained an average of 25.8%. As we can see, Onto Innovation is performing better than its sector in the calendar year.

Another Computer and Technology stock, which has outperformed the sector so far this year, is Motorola (MSI - Free Report) . The stock has returned 48.4% year-to-date.

Over the past three months, Motorola's consensus EPS estimate for the current year has increased 1.2%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Onto Innovation belongs to the Nanotechnology industry, which includes 2 individual stocks and currently sits at #3 in the Zacks Industry Rank. This group has gained an average of 34.4% so far this year, so ONTO is performing better in this area.

In contrast, Motorola falls under the Wireless Equipment industry. Currently, this industry has 15 stocks and is ranked #155. Since the beginning of the year, the industry has moved +26.6%.

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


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