Are Construction Stocks Lagging Taylor Morrison Home (TMHC) This Year?
Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Is Taylor Morrison Home (TMHC) 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.
Taylor Morrison Home is a member of our Construction group, which includes 99 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. Taylor Morrison Home is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for TMHC's full-year earnings has moved 3.8% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, TMHC has moved about 52.5% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 29.4% on a year-to-date basis. This means that Taylor Morrison Home is outperforming the sector as a whole this year.
Toll Brothers (TOL) is another Construction stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 62.1%.
Over the past three months, Toll Brothers' consensus EPS estimate for the current year has increased 14.9%. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Taylor Morrison Home belongs to the Building Products - Home Builders industry, a group that includes 19 individual stocks and currently sits at #3 in the Zacks Industry Rank. On average, stocks in this group have gained 44.3% this year, meaning that TMHC is performing better in terms of year-to-date returns. Toll Brothers is also part of the same industry.
Taylor Morrison Home and Toll Brothers could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.
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Taylor Morrison Home Corporation (TMHC) : Free Stock Analysis Report
Toll Brothers Inc. (TOL) : Free Stock Analysis Report
