Back to top

Image: Bigstock

Is Builders FirstSource (BLDR) Stock Outpacing Its Retail-Wholesale Peers This Year?

Read MoreHide Full Article

Investors interested in Retail-Wholesale stocks should always be looking to find the best-performing companies in the group. Is Builders FirstSource (BLDR - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.

Builders FirstSource is one of 219 individual stocks in the Retail-Wholesale 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 emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. Builders FirstSource is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for BLDR's full-year earnings has moved 5.7% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, BLDR has returned 20% so far this year. At the same time, Retail-Wholesale stocks have gained an average of 8.4%. This shows that Builders FirstSource is outperforming its peers so far this year.

Cava Group (CAVA - Free Report) is another Retail-Wholesale stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 37.9%.

Over the past three months, Cava Group's consensus EPS estimate for the current year has increased 68%. The stock currently has a Zacks Rank #2 (Buy).

Breaking things down more, Builders FirstSource is a member of the Building Products - Retail industry, which includes 8 individual companies and currently sits at #164 in the Zacks Industry Rank. On average, this group has gained an average of 10% so far this year, meaning that BLDR is performing better in terms of year-to-date returns.

In contrast, Cava Group falls under the Retail - Restaurants industry. Currently, this industry has 42 stocks and is ranked #140. Since the beginning of the year, the industry has moved +3.8%.

Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to Builders FirstSource and Cava Group as they could maintain their solid performance.


See More Zacks Research for These Tickers


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


Builders FirstSource, Inc. (BLDR) - free report >>

CAVA Group, Inc. (CAVA) - free report >>

Published in