Yahoo Finance Are Construction Stocks Lagging AZEK (AZEK) This Year?
The Construction group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. The AZEK Company (AZEK) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? 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.
The AZEK Company is one of 94 companies in the Construction group. The Construction group currently sits at #1 within the Zacks Sector Rank. 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. The AZEK Company is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for AZEK's full-year earnings has moved 5.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that AZEK has returned about 23.5% since the start of the calendar year. In comparison, Construction companies have returned an average of 10.9%. This shows that The AZEK Company is outperforming its peers so far this year.
Martin Marietta (MLM) is another Construction stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 16.5%.
Over the past three months, Martin Marietta's consensus EPS estimate for the current year has increased 3.8%. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, The AZEK Company belongs to the Building Products - Air Conditioner and Heating industry, a group that includes 6 individual stocks and currently sits at #32 in the Zacks Industry Rank. Stocks in this group have gained about 16.3% so far this year, so AZEK is performing better this group in terms of year-to-date returns.
Martin Marietta, however, belongs to the Building Products - Concrete and Aggregates industry. Currently, this 9-stock industry is ranked #91. The industry has moved +13.1% so far this year.
The AZEK Company and Martin Marietta could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.
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The AZEK Company Inc. (AZEK) : Free Stock Analysis Report
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