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Is Norbord (OSB) Stock Outpacing Its Construction Peers This Year?

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For those looking to find strong Construction stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Norbord 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.

Norbord is one of 99 companies in the Construction group. The Construction group currently sits at #5 within 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 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. OSB is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for OSB's full-year earnings has moved 20% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, OSB has moved about 23.31% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of -9.48% on a year-to-date basis. This shows that Norbord is outperforming its peers so far this year.

Looking more specifically, OSB belongs to the Building Products - Wood industry, a group that includes 11 individual stocks and currently sits at #33 in the Zacks Industry Rank. On average, this group has gained an average of 3.35% so far this year, meaning that OSB is performing better in terms of year-to-date returns.

Investors with an interest in Construction stocks should continue to track OSB. The stock will be looking to continue its solid performance.