Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Alfa Laval AB Unsponsored ADR (ALFVY) 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.
Alfa Laval AB Unsponsored ADR is one of 88 individual stocks in the Construction sector. Collectively, these companies sit at #13 in 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 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. Alfa Laval AB Unsponsored ADR is currently sporting a Zacks Rank of #1 (Strong Buy).
Over the past 90 days, the Zacks Consensus Estimate for ALFVY's full-year earnings has moved 1.5% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.
According to our latest data, ALFVY has moved about 10.9% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 5.1% on a year-to-date basis. This means that Alfa Laval AB Unsponsored ADR is outperforming the sector as a whole this year.
Another Construction stock, which has outperformed the sector so far this year, is Armstrong World Industries (AWI). The stock has returned 36.5% year-to-date.
The consensus estimate for Armstrong World Industries' current year EPS has increased 3.3% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).
Looking more specifically, Alfa Laval AB Unsponsored ADR belongs to the Engineering - R and D Services industry, which includes 16 individual stocks and currently sits at #156 in the Zacks Industry Rank. On average, stocks in this group have gained 17% this year, meaning that ALFVY is slightly underperforming its industry in terms of year-to-date returns.
In contrast, Armstrong World Industries falls under the Building Products - Miscellaneous industry. Currently, this industry has 30 stocks and is ranked #96. Since the beginning of the year, the industry has moved -0.6%.
Going forward, investors interested in Construction stocks should continue to pay close attention to Alfa Laval AB Unsponsored ADR and Armstrong World Industries as they could maintain their solid performance.
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Alfa Laval AB Unsponsored ADR (ALFVY): Free Stock Analysis Report Armstrong World Industries, Inc. (AWI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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