Back to top

Image: Bigstock

Is Sterling Infrastructure, Inc. (STRL) Outperforming Other Construction Stocks This Year?

Read MoreHide Full Article

The Construction group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Sterling Infrastructure (STRL - Free Report) been one of those stocks this year? 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 99 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 proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Sterling Infrastructure is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for STRL's full-year earnings has moved 5.7% higher. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, STRL has gained about 5.2% so far this year. Meanwhile, the Construction sector has returned an average of -14.9% on a year-to-date basis. As we can see, Sterling Infrastructure is performing better than its sector in the calendar year.

Another stock in the Construction sector, Vinci SA (VCISY - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 14.4%.

The consensus estimate for Vinci SA's current year EPS has increased 3.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Sterling Infrastructure belongs to the Engineering - R and D Services industry, a group that includes 21 individual companies and currently sits at #45 in the Zacks Industry Rank. On average, this group has gained an average of 15% so far this year, meaning that STRL is slightly underperforming its industry in terms of year-to-date returns.

In contrast, Vinci SA falls under the Building Products - Heavy Construction industry. Currently, this industry has 11 stocks and is ranked #81. Since the beginning of the year, the industry has moved +1.8%.

Sterling Infrastructure and Vinci SA could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Sterling Infrastructure, Inc. (STRL) - free report >>

Vinci SA (VCISY) - free report >>

Published in