For those looking to find strong Construction stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Dycom Industries (DY) 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.
Dycom Industries is one of 87 individual stocks in the Construction sector. Collectively, these companies sit at #14 in 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. Dycom Industries is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for DY's full-year earnings has moved 17.1% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
Based on the most recent data, DY has returned 43.8% so far this year. Meanwhile, stocks in the Construction group have gained about 3.2% on average. As we can see, Dycom Industries is performing better than its sector in the calendar year.
Another stock in the Construction sector, Comfort Systems (FIX), has outperformed the sector so far this year. The stock's year-to-date return is 25.9%.
The consensus estimate for Comfort Systems' current year EPS has increased 7.9% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Dycom Industries belongs to the Building Products - Heavy Construction industry, a group that includes 9 individual stocks and currently sits at #12 in the Zacks Industry Rank. This group has gained an average of 16.4% so far this year, so DY is performing better in this area.
On the other hand, Comfort Systems belongs to the Building Products - Air Conditioner and Heating industry. This 6-stock industry is currently ranked #169. The industry has moved +10.1% year to date.
Investors with an interest in Construction stocks should continue to track Dycom Industries and Comfort Systems. These stocks will be looking to continue their solid performance.
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Dycom Industries, Inc. (DY): Free Stock Analysis Report Comfort Systems USA, Inc. (FIX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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