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Is KB Home (KBH) Outperforming Other Construction Stocks 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. Is KB Home (KBH - 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 Construction sector should help us answer this question.

KB Home is a member of the Construction sector. This group includes 99 individual stocks and currently holds a Zacks Sector Rank of #5. 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. KBH is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for KBH's full-year earnings has moved 1.95% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that KBH has returned about 37.49% since the start of the calendar year. In comparison, Construction companies have returned an average of 23.83%. This shows that KB Home is outperforming its peers so far this year.

Breaking things down more, KBH is a member of the Building Products - Home Builders industry, which includes 19 individual companies and currently sits at #16 in the Zacks Industry Rank. On average, this group has gained an average of 32.43% so far this year, meaning that KBH is performing better in terms of year-to-date returns.

Investors in the Construction sector will want to keep a close eye on KBH as it attempts to continue its solid performance.


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