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Is Armstrong World Industries (AWI) 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. Is Armstrong World Industries (AWI - Free Report) one of those stocks right now? 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.

Armstrong World Industries is a member of our Construction group, which includes 87 different companies and currently sits at #8 in the Zacks Sector Rank. 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 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. Armstrong World Industries is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for AWI's full-year earnings has moved 0.6% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Based on the most recent data, AWI has returned 17.2% so far this year. In comparison, Construction companies have returned an average of 1.5%. This shows that Armstrong World Industries is outperforming its peers so far this year.

Another stock in the Construction sector, Frontdoor (FTDR - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 7.8%.

Over the past three months, Frontdoor's consensus EPS estimate for the current year has increased 14.2%. The stock currently has a Zacks Rank #1 (Strong Buy).

To break things down more, Armstrong World Industries belongs to the Building Products - Miscellaneous industry, a group that includes 29 individual companies and currently sits at #68 in the Zacks Industry Rank. This group has lost an average of 5.1% so far this year, so AWI is performing better in this area. Frontdoor is also part of the same industry.

Investors interested in the Construction sector may want to keep a close eye on Armstrong World Industries and Frontdoor as they attempt to continue their solid performance.


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