Has Comfort Systems USA (FIX) Outpaced Other Construction Stocks This Year?

Zacks
2024-12-03

For those looking to find strong Construction stocks, it is prudent to search for companies in the group that are outperforming their peers. Comfort Systems (FIX) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? 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.

Comfort Systems is one of 88 individual stocks in the Construction sector. Collectively, these companies sit at #6 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 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. Comfort Systems is currently sporting a Zacks Rank of #1 (Strong Buy).

Over the past three months, the Zacks Consensus Estimate for FIX's full-year earnings has moved 1.2% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

According to our latest data, FIX has moved about 139.8% on a year-to-date basis. Meanwhile, the Construction sector has returned an average of 29.5% on a year-to-date basis. As we can see, Comfort Systems is performing better than its sector in the calendar year.

Sterling Infrastructure (STRL) is another Construction stock that has outperformed the sector so far this year. Since the beginning of the year, the stock has returned 121.1%.

In Sterling Infrastructure's case, the consensus EPS estimate for the current year increased 5.4% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Looking more specifically, Comfort Systems belongs to the Building Products - Air Conditioner and Heating industry, a group that includes 5 individual stocks and currently sits at #52 in the Zacks Industry Rank. This group has gained an average of 60.6% so far this year, so FIX is performing better in this area.

On the other hand, Sterling Infrastructure belongs to the Engineering - R and D Services industry. This 18-stock industry is currently ranked #143. The industry has moved +18.8% year to date.

Comfort Systems and Sterling Infrastructure could continue their solid performance, so investors interested in Construction stocks should continue to pay close attention to these stocks.

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