Is D.R. Horton (DHI) 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. Is D.R. Horton (DHI) 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.
D.R. Horton is one of 99 companies in the Construction group. The Construction group currently sits at #1 within 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 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. D.R. Horton is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for DHI's full-year earnings has moved 18.8% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, DHI has returned 27% so far this year. Meanwhile, stocks in the Construction group have gained about 25.6% on average. As we can see, D.R. Horton is performing better than its sector in the calendar year.
Another Construction stock, which has outperformed the sector so far this year, is M.D.C. Holdings, Inc. (MDC). The stock has returned 37.5% year-to-date.
In M.D.C. Holdings, Inc.'s case, the consensus EPS estimate for the current year increased 39.1% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, D.R. Horton belongs to the Building Products - Home Builders industry, a group that includes 19 individual stocks and currently sits at #4 in the Zacks Industry Rank. On average, this group has gained an average of 40% so far this year, meaning that DHI is slightly underperforming its industry in terms of year-to-date returns. M.D.C. Holdings, Inc. is also part of the same industry.
Investors with an interest in Construction stocks should continue to track D.R. Horton and M.D.C. Holdings, Inc. These stocks will be looking to continue their solid performance.
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D.R. Horton, Inc. (DHI) : Free Stock Analysis Report
M.D.C. Holdings, Inc. (MDC) : Free Stock Analysis Report
