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Century Communities (CCS) Stock Sinks As Market Gains: What You Should Know

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Century Communities (CCS - Free Report) closed the most recent trading day at $64.71, moving -1.02% from the previous trading session. This move lagged the S&P 500's daily gain of 0.85%.

Coming into today, shares of the single-family homebuilder had lost 2.08% in the past month. In that same time, the Construction sector lost 3.74%, while the S&P 500 lost 0.37%.

Investors will be hoping for strength from CCS as it approaches its next earnings release. The company is expected to report EPS of $3.44, up 132.43% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.09 billion, up 36.66% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $13.65 per share and revenue of $4.29 billion, which would represent changes of +119.45% and +35.86%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for CCS. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. CCS currently has a Zacks Rank of #1 (Strong Buy).

Investors should also note CCS's current valuation metrics, including its Forward P/E ratio of 4.79. This valuation marks a discount compared to its industry's average Forward P/E of 6.57.

The Building Products - Home Builders industry is part of the Construction sector. This group has a Zacks Industry Rank of 37, putting it in the top 15% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow CCS in the coming trading sessions, be sure to utilize Zacks.com.


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