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Is Boise Cascade (BCC) Stock Outpacing Its Construction Peers This Year?

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Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Boise Cascade (BCC - 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? A quick glance at the company's year-to-date performance in comparison to the rest of the Construction sector should help us answer this question.

Boise Cascade is a member of the Construction sector. This group includes 98 individual stocks and currently holds a Zacks Sector Rank of #2. 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. Boise Cascade is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past 90 days, the Zacks Consensus Estimate for BCC's full-year earnings has moved 4.6% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, BCC has moved about 8.2% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 3.1% on a year-to-date basis. This means that Boise Cascade is performing better than its sector in terms of year-to-date returns.

Another stock in the Construction sector, TopBuild (BLD - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 3.4%.

In TopBuild's case, the consensus EPS estimate for the current year increased 1.8% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Boise Cascade belongs to the Building Products - Wood industry, a group that includes 12 individual companies and currently sits at #41 in the Zacks Industry Rank. Stocks in this group have gained about 0.2% so far this year, so BCC is performing better this group in terms of year-to-date returns.

In contrast, TopBuild falls under the Building Products - Miscellaneous industry. Currently, this industry has 29 stocks and is ranked #37. Since the beginning of the year, the industry has moved +7%.

Investors with an interest in Construction stocks should continue to track Boise Cascade and TopBuild. These stocks will be looking to continue their solid performance.


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