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Has Sterling Construction Company (STRL) Outpaced Other Construction Stocks 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. Sterling Construction Company (STRL - Free Report) 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? One simple way to answer this question is to take a look at the year-to-date performance of STRL and the rest of the Construction group's stocks.

Sterling Construction Company is one of 104 individual stocks in the Construction sector. Collectively, these companies sit at #10 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. STRL is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for STRL's full-year earnings has moved 5.61% higher within the past quarter. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that STRL has returned about 23.43% since the start of the calendar year. Meanwhile, the Construction sector has returned an average of 20.77% on a year-to-date basis. This means that Sterling Construction Company is performing better than its sector in terms of year-to-date returns.

Looking more specifically, STRL belongs to the Building Products - Heavy Construction industry, a group that includes 12 individual stocks and currently sits at #169 in the Zacks Industry Rank. On average, this group has gained an average of 23.83% so far this year, meaning that STRL is slightly underperforming its industry in terms of year-to-date returns.

Investors in the Construction sector will want to keep a close eye on STRL as it attempts to continue its solid performance.


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