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Is EMCOR Group (EME) Stock Outpacing Its Construction Peers This Year?

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The Construction group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Emcor Group (EME - Free Report) been one of those stocks this year? 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.

Emcor Group is one of 88 individual stocks in the Construction sector. Collectively, these companies sit 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. Emcor Group is currently sporting a Zacks Rank of #2 (Buy).

Over the past three months, the Zacks Consensus Estimate for EME's full-year earnings has moved 6.4% higher. This shows that analyst sentiment has improved and the company's earnings outlook is stronger.

Based on the most recent data, EME has returned 38.6% so far this year. In comparison, Construction companies have returned an average of 4.4%. As we can see, Emcor Group is performing better than its sector in the calendar year.

Another Construction stock, which has outperformed the sector so far this year, is Trane Technologies (TT - Free Report) . The stock has returned 17.5% year-to-date.

For Trane Technologies, the consensus EPS estimate for the current year has increased 1.4% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Emcor Group belongs to the Building Products - Heavy Construction industry, a group that includes 9 individual companies and currently sits at #12 in the Zacks Industry Rank. This group has gained an average of 26.4% so far this year, so EME is performing better in this area.

On the other hand, Trane Technologies belongs to the Building Products - Air Conditioner and Heating industry. This 6-stock industry is currently ranked #39. The industry has moved +7.8% year to date.

Investors interested in the Construction sector may want to keep a close eye on Emcor Group and Trane Technologies as they attempt to continue their solid performance.


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