Is AZEK (AZEK) Stock Outpacing Its Construction Peers This Year?
Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. The AZEK Company (AZEK) 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 Construction peers, we might be able to answer that question.
The AZEK Company is a member of our Construction group, which includes 98 different companies and currently sits at #1 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 is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. The AZEK Company is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for AZEK's full-year earnings has moved 3.8% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that AZEK has returned about 18.3% since the start of the calendar year. At the same time, Construction stocks have gained an average of 3.8%. This means that The AZEK Company is outperforming the sector as a whole this year.
One other Construction stock that has outperformed the sector so far this year is Bellway (BLWYY). The stock is up 55.9% year-to-date.
In Bellway's case, the consensus EPS estimate for the current year increased 2.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, The AZEK Company is a member of the Building Products - Air Conditioner and Heating industry, which includes 6 individual companies and currently sits at #19 in the Zacks Industry Rank. This group has gained an average of 2.1% so far this year, so AZEK is performing better in this area.
Bellway, however, belongs to the Building Products - Miscellaneous industry. Currently, this 29-stock industry is ranked #38. The industry has moved +7% so far this year.
Investors interested in the Construction sector may want to keep a close eye on The AZEK Company and Bellway as they attempt to continue their solid performance.
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The AZEK Company Inc. (AZEK) : Free Stock Analysis Report
Bellway (BLWYY) : Free Stock Analysis Report
