Is Lennar (LEN) Stock Outpacing Its Construction Peers This Year?
Investors focused on the Construction space have likely heard of Lennar (LEN), but is the stock performing well in comparison to the rest of its sector peers? 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.
Lennar is one of 104 companies in the Construction group. The Construction group currently sits at #2 within the Zacks Sector Rank. 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 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. LEN is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past three months, the Zacks Consensus Estimate for LEN's full-year earnings has moved 14.21% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Based on the latest available data, LEN has gained about 36.62% so far this year. At the same time, Construction stocks have gained an average of 13.38%. As we can see, Lennar is performing better than its sector in the calendar year.
Looking more specifically, LEN belongs to the Building Products - Home Builders industry, which includes 16 individual stocks and currently sits at #6 in the Zacks Industry Rank. On average, stocks in this group have gained 26.80% this year, meaning that LEN is performing better in terms of year-to-date returns.
Investors in the Construction sector will want to keep a close eye on LEN as it attempts to continue its solid performance.
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