There is no doubt that investors heavily focused on the Computer and Technology sector have heard about Facebook. It is, after all, the world’s leading social media network. But as far as the stock performance is concerned, it is interesting to see what it actually holds, Nasdaq reports.
Facebook is part of Nasdaq’s Computer and Technology space, which reportedly covers about 644 different businesses. As of press time, the social media giant sits at the fifth spot in the Zacks Sector rank. The latter, on the other hand, includes about 16 different groups, which basically measure the average Zacks Rank of the individual stocks within the sector. By doing so, it is able to determine the strength of each group.
The Zacks Rank is also deemed successful when it comes to becoming a stock-picking model, one that significantly emphasizes earning revisions and earnings estimates. The system features a handful of varying stocks, all of which have the ability to outperform the much broader market over the next couple of months. Facebook, in particular, seems to sport a Zacks Rank of number 2.
As far as the Zacks Consensus Estimate for the social media giant and its full-year earnings, it is believed to have moved at least 2.51 percent higher when compared within the past quarter. To put it simply, analyst sentiment has clearly improved for the better and, more importantly, the tech firm’s earnings outlook is looking stronger than ever.
Based on the most recent data gathered, the social media network was able to return 24.01 percent this year. When put into comparison, companies under the Computer and Technology group have only managed to return an average of around 12.47 percent. And based on these figures, it is safe to assume that the tech company is performing a lot better than its own sector in the current calendar year. And what is more, the difference in comparison is quite remarkable.
If one is to look more specifically, it cannot be denied that Facebook belongs to the Internet-Services Industry. The latter, based on the official data, covers around 50 individual stocks and sits at the #101 in the Zacks Industry Rank. When viewed on an average, this group is able to gain an average of more or less 11.20 percent so far in the same year. In other words, the social media network is still performing better when it comes to year-to-date returns.
With all things considered, there is no doubt that Facebook is going to continue with its solid performance. And despite the many controversies involving data privacy and customer-related information, there is no sign of an utter demise. In fact, in a recent survey, people are still likely to utilize the social media network despite hearing the many issues it has to privacy and security.
This is definitely going to interest investors. And for those who are looking to be part of the Computer and Technology stocks, they might as well have a strong connection with Facebook. At the same time, it is imperative that they pay close attention to the company’s performance.
In related news, the company has reportedly removed its very own privacy-invading Onavo Protect VPN app from the Google Play store. The report also suggests that the company decided to cease the gobbling up of data from users, particularly those who have been using the app since day one.
It should be noted, however, that the company’s Onavo website is still up and running. But as far as links to both iOS and Android apps are concerned, they are no longer working or simply broken.