For those looking to find strong Construction stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Comfort Systems (FIX) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Construction sector should help us answer this question.
Comfort Systems is a member of the Construction sector. This group includes 96 individual stocks and currently holds a Zacks Sector Rank of #1. 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 proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Comfort Systems is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for FIX's full-year earnings has moved 7% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Our latest available data shows that FIX has returned about 28.6% since the start of the calendar year. Meanwhile, stocks in the Construction group have gained about 12% on average. This means that Comfort Systems is performing better than its sector in terms of year-to-date returns.
Another stock in the Construction sector, Toll Brothers (TOL), has outperformed the sector so far this year. The stock's year-to-date return is 35.6%.
In Toll Brothers' case, the consensus EPS estimate for the current year increased 13.9% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
To break things down more, Comfort Systems belongs to the Building Products - Air Conditioner and Heating industry, a group that includes 6 individual companies and currently sits at #19 in the Zacks Industry Rank. This group has gained an average of 25.1% so far this year, so FIX is performing better in this area.
Toll Brothers, however, belongs to the Building Products - Home Builders industry. Currently, this 19-stock industry is ranked #7. The industry has moved +26.7% so far this year.
Investors with an interest in Construction stocks should continue to track Comfort Systems and Toll Brothers. These stocks will be looking to continue their solid performance.
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