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Are Construction Stocks Lagging North American Construction Group (NOA) 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 North American Construction (NOA - Free Report) one of those stocks right now? Let's take a closer look at the stock's year-to-date performance to find out.

North American Construction is a member of our Construction group, which includes 96 different companies and currently sits at #2 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. North American Construction is currently sporting a Zacks Rank of #1 (Strong Buy).

Within the past quarter, the Zacks Consensus Estimate for NOA's full-year earnings has moved 0.4% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

According to our latest data, NOA has moved about 40% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 17.7% on a year-to-date basis. This means that North American Construction is performing better than its sector in terms of year-to-date returns.

NVR (NVR - Free Report) is another Construction stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 23.8%.

Over the past three months, NVR's consensus EPS estimate for the current year has increased 4.1%. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, North American Construction belongs to the Building Products - Heavy Construction industry, a group that includes 10 individual stocks and currently sits at #122 in the Zacks Industry Rank. This group has gained an average of 20.1% so far this year, so NOA is performing better in this area.

NVR, however, belongs to the Building Products - Home Builders industry. Currently, this 19-stock industry is ranked #7. The industry has moved +32.6% so far this year.

Investors interested in the Construction sector may want to keep a close eye on North American Construction and NVR as they attempt to continue their solid performance.


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