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. Applied Materials (AMAT) 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? Let's take a closer look at the stock's year-to-date performance to find out.

Applied Materials is one of 617 individual stocks in the Computer and Technology sector. Collectively, these companies sit at #6 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 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. Applied Materials is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for AMAT's full-year earnings has moved 3.4% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the latest available data, AMAT has gained about 51.5% so far this year. In comparison, Computer and Technology companies have returned an average of 26.2%. This shows that Applied Materials is outperforming its peers so far this year.

Another stock in the Computer and Technology sector, Alpha and Omega Semiconductor (AOSL), has outperformed the sector so far this year. The stock's year-to-date return is 75.3%.

In Alpha and Omega Semiconductor's case, the consensus EPS estimate for the current year increased 37.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Applied Materials is a member of the Semiconductor Equipment - Wafer Fabrication industry, which includes 4 individual companies and currently sits at #50 in the Zacks Industry Rank. On average, this group has gained an average of 42.9% so far this year, meaning that AMAT is performing better in terms of year-to-date returns.

Alpha and Omega Semiconductor, however, belongs to the Electronics - Semiconductors industry. Currently, this 43-stock industry is ranked #95. The industry has moved -42% so far this year.

Going forward, investors interested in Computer and Technology stocks should continue to pay close attention to Applied Materials and Alpha and Omega Semiconductor as they could maintain their solid performance.