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Is Sterling Infrastructure, Inc. (STRL) Stock Outpacing Its Construction Peers This Year?

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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? 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.

Sterling Infrastructure is a member of the Construction sector. This group includes 96 individual stocks and currently holds a Zacks Sector Rank of #2. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

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. Sterling Infrastructure is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for STRL's full-year earnings has moved 5.2% 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 20% so far this year. Meanwhile, stocks in the Construction group have gained about 12.3% on average. As we can see, Sterling Infrastructure is performing better than its sector in the calendar year.

Another Construction stock, which has outperformed the sector so far this year, is The AZEK Company (AZEK - Free Report) . The stock has returned 26.4% year-to-date.

In The AZEK Company's case, the consensus EPS estimate for the current year increased 23.7% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Sterling Infrastructure belongs to the Engineering - R and D Services industry, which includes 21 individual stocks and currently sits at #48 in the Zacks Industry Rank. Stocks in this group have gained about 15.2% so far this year, so STRL is performing better this group in terms of year-to-date returns.

The AZEK Company, however, belongs to the Building Products - Air Conditioner and Heating industry. Currently, this 6-stock industry is ranked #5. The industry has moved +11.1% so far this year.

Investors with an interest in Construction stocks should continue to track Sterling Infrastructure and The AZEK Company. These stocks will be looking to continue their solid performance.


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