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. Is Neonode (NEON) one of those stocks right now? 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.

Neonode is one of 609 companies in the Computer and Technology group. The Computer and Technology group currently sits at #5 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Neonode is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for NEON's full-year earnings has moved 30.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Our latest available data shows that NEON has returned about 10.1% since the start of the calendar year. In comparison, Computer and Technology companies have returned an average of -17.1%. This shows that Neonode is outperforming its peers so far this year.

One other Computer and Technology stock that has outperformed the sector so far this year is PLDT (PHI). The stock is up 4% year-to-date.

In PLDT's case, the consensus EPS estimate for the current year increased 0.3% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Neonode is a member of the Computer - Software industry, which includes 32 individual companies and currently sits at #76 in the Zacks Industry Rank. Stocks in this group have lost about 13.4% so far this year, so NEON is performing better this group in terms of year-to-date returns.

In contrast, PLDT falls under the Wireless Non-US industry. Currently, this industry has 14 stocks and is ranked #88. Since the beginning of the year, the industry has moved +12.7%.

Investors with an interest in Computer and Technology stocks should continue to track Neonode and PLDT. These stocks will be looking to continue their solid performance.

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This article originally published on Zacks Investment Research (zacks.com).

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