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Is eGain (EGAN) Outperforming Other Computer and Technology Stocks 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. eGain (EGAN - Free Report) 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? By taking a look at the stock's year-to-date performance in comparison to its Computer and Technology peers, we might be able to answer that question.

eGain is one of 604 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #4 in the Zacks Sector Rank. 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. eGain is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for EGAN's full-year earnings has moved 220% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, EGAN has returned 43.3% so far this year. In comparison, Computer and Technology companies have returned an average of 20.6%. This means that eGain is outperforming the sector as a whole this year.

Another stock in the Computer and Technology sector, Draganfly Inc. (DPRO - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 30.2%.

The consensus estimate for Draganfly Inc.'s current year EPS has increased 37.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, eGain belongs to the Internet - Software industry, which includes 172 individual stocks and currently sits at #78 in the Zacks Industry Rank. This group has gained an average of 23.6% so far this year, so EGAN is performing better in this area.

In contrast, Draganfly Inc. falls under the Computers - IT Services industry. Currently, this industry has 43 stocks and is ranked #107. Since the beginning of the year, the industry has moved -15.1%.

eGain and Draganfly Inc. could continue their solid performance, so investors interested in Computer and Technology stocks should continue to pay close attention to these stocks.


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