Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Quanta Services (PWR) 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? Let's take a closer look at the stock's year-to-date performance to find out.
Quanta Services is one of 93 individual stocks in the Construction sector. Collectively, these companies sit at #16 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 successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Quanta Services is currently sporting a Zacks Rank of #2 (Buy).
The Zacks Consensus Estimate for PWR's full-year earnings has moved 0.5% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.
Our latest available data shows that PWR has returned about 9.8% since the start of the calendar year. In comparison, Construction companies have returned an average of 8.9%. This means that Quanta Services is performing better than its sector in terms of year-to-date returns.
Another Construction stock, which has outperformed the sector so far this year, is SPX Technologies (SPXC). The stock has returned 8.9% year-to-date.
The consensus estimate for SPX Technologies' current year EPS has increased 3.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Breaking things down more, Quanta Services is a member of the Engineering - R and D Services industry, which includes 19 individual companies and currently sits at #37 in the Zacks Industry Rank. On average, stocks in this group have gained 16% this year, meaning that PWR is slightly underperforming its industry in terms of year-to-date returns.
SPX Technologies, however, belongs to the Building Products - Air Conditioner and Heating industry. Currently, this 7-stock industry is ranked #100. The industry has moved +5% so far this year.
Quanta Services and SPX Technologies could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.
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Quanta Services, Inc. (PWR): Free Stock Analysis Report SPX Technologies, Inc. (SPXC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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