Are Construction Stocks Lagging TopBuild (BLD) This Year?
The Construction group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has TopBuild (BLD) been one of those stocks this year? 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.
TopBuild is a member of the Construction sector. This group includes 99 individual stocks and currently holds a Zacks Sector Rank of #1. 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 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. TopBuild is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for BLD's full-year earnings has moved 13.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, BLD has moved about 76.2% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 29.4% on a year-to-date basis. This shows that TopBuild is outperforming its peers so far this year.
Another Construction stock, which has outperformed the sector so far this year, is Beazer Homes (BZH). The stock has returned 118% year-to-date.
The consensus estimate for Beazer Homes' current year EPS has increased 14.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, TopBuild belongs to the Building Products - Miscellaneous industry, which includes 27 individual stocks and currently sits at #28 in the Zacks Industry Rank. Stocks in this group have gained about 32.3% so far this year, so BLD is performing better this group in terms of year-to-date returns.
In contrast, Beazer Homes falls under the Building Products - Home Builders industry. Currently, this industry has 19 stocks and is ranked #4. Since the beginning of the year, the industry has moved +40.3%.
Investors with an interest in Construction stocks should continue to track TopBuild and Beazer Homes. These stocks will be looking to continue their solid performance.
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TopBuild Corp. (BLD) : Free Stock Analysis Report
Beazer Homes USA, Inc. (BZH) : Free Stock Analysis Report
