Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Is Sterling Infrastructure (STRL) one of those stocks right now? 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.
Sterling Infrastructure is a member of the Construction sector. This group includes 91 individual stocks and currently holds a Zacks Sector Rank of #16. 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. Sterling Infrastructure is currently sporting a Zacks Rank of #2 (Buy).
Over the past 90 days, the Zacks Consensus Estimate for STRL's full-year earnings has moved 4.2% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.
Our latest available data shows that STRL has returned about 84.1% since the start of the calendar year. At the same time, Construction stocks have gained an average of 1.7%. This means that Sterling Infrastructure is outperforming the sector as a whole this year.
Another stock in the Construction sector, United Rentals (URI), has outperformed the sector so far this year. The stock's year-to-date return is 33.5%.
The consensus estimate for United Rentals' current year EPS has increased 4.7% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Sterling Infrastructure belongs to the Engineering - R and D Services industry, a group that includes 22 individual stocks and currently sits at #189 in the Zacks Industry Rank. On average, this group has gained an average of 22.1% so far this year, meaning that STRL is performing better in terms of year-to-date returns.
In contrast, United Rentals falls under the Building Products - Miscellaneous industry. Currently, this industry has 35 stocks and is ranked #213. Since the beginning of the year, the industry has moved -7.8%.
Sterling Infrastructure and United Rentals could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.
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Sterling Infrastructure, Inc. (STRL): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).