Yahoo Finance Are Construction Stocks Lagging TopBuild (BLD) This Year?
Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. 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 one of 95 companies in the Construction group. The Construction group currently sits at #1 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. TopBuild is currently sporting a Zacks Rank of #2 (Buy).
Over the past three months, the Zacks Consensus Estimate for BLD's full-year earnings has moved 1.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
According to our latest data, BLD has moved about 8.1% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 5.7% on a year-to-date basis. This means that TopBuild is outperforming the sector as a whole this year.
One other Construction stock that has outperformed the sector so far this year is Toll Brothers (TOL). The stock is up 15.9% year-to-date.
For Toll Brothers, the consensus EPS estimate for the current year has increased 12.1% 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, a group that includes 28 individual stocks and currently sits at #61 in the Zacks Industry Rank. On average, this group has gained an average of 7.2% so far this year, meaning that BLD is performing better in terms of year-to-date returns.
In contrast, Toll Brothers falls under the Building Products - Home Builders industry. Currently, this industry has 16 stocks and is ranked #16. Since the beginning of the year, the industry has moved +1.7%.
Going forward, investors interested in Construction stocks should continue to pay close attention to TopBuild and Toll Brothers as they could maintain their solid performance.
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TopBuild Corp. (BLD) : Free Stock Analysis Report
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