For investors seeking strong Construction stocks, Dycom Industries (DY) stands out as a potential winner. Its year-to-date performance significantly outpaces the rest of the Construction sector.
Dycom Industries is part of the Construction group, which includes 91 companies. This group currently holds the #3 spot in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sectors and ranks them based on the average Zacks Rank of the individual stocks within each group. This system emphasizes earnings estimates and revisions, aiming to identify stocks with positive earnings outlooks.
Currently, Dycom Industries boasts a Zacks Rank of #2 (Buy). Over the past 90 days, analysts have raised their consensus estimate for Dycom’s full-year earnings by 12.2%. This positive sentiment suggests a strong earnings outlook for the company.
Dycom’s year-to-date return of 61.9% far exceeds the Construction sector’s average return of 12.6%. This performance underscores Dycom’s strength in the market.
Another notable Construction stock, Grafton Group PLC (GROUF), has also outperformed the sector. It has returned 89.5% since the beginning of the year. Analysts have increased Grafton Group PLC’s consensus EPS estimate for the current year by 4.9% over the past three months. The stock currently carries a Zacks Rank of #1 (Strong Buy).
Analyzing these companies at the industry level reveals further insights. Dycom Industries belongs to the Building Products – Heavy Construction industry, which includes 10 stocks and ranks #11 in the Zacks Industry Rank. This industry has gained an average of 55.4% so far this year, indicating Dycom’s strong performance within this group.
Grafton Group PLC, on the other hand, operates within the Building Products – Miscellaneous industry. This industry, which comprises 27 stocks, currently ranks #67 and has gained 9.5% so far this year.
Both Dycom Industries and Grafton Group PLC have demonstrated strong performance, making them attractive options for investors seeking exposure to the Construction sector. Their continued performance warrants close monitoring.
