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Are Construction Stocks Lagging Cavco Industries (CVCO) This Year?

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For those looking to find strong Construction stocks, it is prudent to search for companies in the group that are outperforming their peers. Has Cavco (CVCO - Free Report) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.

Cavco is a member of our Construction group, which includes 92 different companies and currently sits at #15 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 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. Cavco is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for CVCO's full-year earnings has moved 3.8% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, CVCO has moved about 18.9% on a year-to-date basis. In comparison, Construction companies have returned an average of 3.6%. As we can see, Cavco is performing better than its sector in the calendar year.

One other Construction stock that has outperformed the sector so far this year is Great Lakes Dredge & Dock (GLDD - Free Report) . The stock is up 13.1% year-to-date.

Over the past three months, Great Lakes Dredge & Dock's consensus EPS estimate for the current year has increased 2.7%. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Cavco belongs to the Building Products - Mobile Homes and RV Builders industry, a group that includes 5 individual companies and currently sits at #100 in the Zacks Industry Rank. On average, this group has gained an average of 0.5% so far this year, meaning that CVCO is performing better in terms of year-to-date returns.

Great Lakes Dredge & Dock, however, belongs to the Building Products - Heavy Construction industry. Currently, this 9-stock industry is ranked #79. The industry has moved +40.2% so far this year.

Investors interested in the Construction sector may want to keep a close eye on Cavco and Great Lakes Dredge & Dock as they attempt to continue their solid performance.


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Great Lakes Dredge & Dock Corporation (GLDD) - free report >>

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