The Construction group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has D.R. Horton (DHI) been one of those stocks this year? 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.
D.R. Horton is a member of our Construction group, which includes 92 different companies and currently sits 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 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. D.R. Horton is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for DHI's full-year earnings has moved 0.2% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
According to our latest data, DHI has moved about 13.6% on a year-to-date basis. At the same time, Construction stocks have gained an average of 6.8%. As we can see, D.R. Horton is performing better than its sector in the calendar year.
Alfa Laval AB Unsponsored ADR (ALFVY) is another Construction stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 19.8%.
The consensus estimate for Alfa Laval AB Unsponsored ADR's current year EPS has increased 1% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, D.R. Horton is a member of the Building Products - Home Builders industry, which includes 17 individual companies and currently sits at #190 in the Zacks Industry Rank. This group has lost an average of 1.7% so far this year, so DHI is performing better in this area.
On the other hand, Alfa Laval AB Unsponsored ADR belongs to the Engineering - R and D Services industry. This 15-stock industry is currently ranked #51. The industry has moved +14.7% year to date.
Investors interested in the Construction sector may want to keep a close eye on D.R. Horton and Alfa Laval AB Unsponsored ADR as they attempt to continue their solid performance.
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D.R. Horton, Inc. (DHI): Free Stock Analysis Report Alfa Laval AB Unsponsored ADR (ALFVY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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