Latest news with #PrimorisServices
Yahoo
4 days ago
- Business
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Are You Looking for a Top Momentum Pick? Why Primoris Services (PRIM) is a Great Choice
Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us. Below, we take a look at Primoris Services (PRIM), a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score. It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Primoris Services currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period. You can see the current list of Zacks #1 Rank Stocks here >>> Set to Beat the Market? In order to see if PRIM is a promising momentum pick, let's examine some Momentum Style elements to see if this construction contractor holds up. A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area. For PRIM, shares are up 21.99% over the past week while the Zacks Building Products - Heavy Construction industry is up 5.23% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 32.64% compares favorably with the industry's 6.5% performance as well. While any stock can see a spike in price, it takes a real winner to consistently outperform the market. Over the past quarter, shares of Primoris Services have risen 52.23%, and are up 113.7% in the last year. On the other hand, the S&P 500 has only moved 10.18% and 20.38%, respectively. Investors should also pay attention to PRIM's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. PRIM is currently averaging 1,062,453 shares for the last 20 days. Earnings Outlook The Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with PRIM. Over the past two months, 2 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost PRIM's consensus estimate, increasing from $4.44 to $4.67 in the past 60 days. Looking at the next fiscal year, 2 estimates have moved upwards while there have been no downward revisions in the same time period. Bottom Line Given these factors, it shouldn't be surprising that PRIM is a #1 (Strong Buy) stock and boasts a Momentum Score of A. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Primoris Services on your short list. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Primoris Services Corporation (PRIM) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
06-08-2025
- Business
- Yahoo
Primoris Services Corp (PRIM) Q2 2025 Earnings Call Highlights: Record Revenue and Strategic ...
Revenue: $1.9 billion, up 20.9% from the prior year. Gross Profit: $231.7 million, an increase of 24.1% from the prior year. Gross Margin: 12.3%, up from 11.9% in the prior year. Net Income: $84.3 million, up around 70% from the prior year. Adjusted EPS: $1.68 per fully diluted share, up over 60% from the prior year. Adjusted EBITDA: $154.8 million, up over 30% from the prior year. Cash from Operations: Over $78 million for Q2, with year-to-date operating cash flow nearly $145 million. Utilities Segment Gross Profit: $97.5 million, up 52.3% from the prior year. Utilities Segment Gross Margin: 14.1%, up from 10.3% in the prior year. Energy Segment Gross Profit: $134.2 million, up 9.4% from the prior year. Energy Segment Gross Margin: 10.8%, down from 12.6% in the prior year. SG&A Expenses: $104.5 million, representing 5.5% of revenue. Net Interest Expense: $7.6 million, down $9.6 million from the prior year. Total Backlog: Just under $11.5 billion, an increase of approximately $100 million sequentially from Q1. EPS Guidance: Increased to $4.40 to $4.60 per fully diluted share. Adjusted EPS Guidance: Increased to $4.90 to $5.10 per fully diluted share. Adjusted EBITDA Guidance: $490 million to $510 million for the full year 2025. Warning! GuruFocus has detected 7 Warning Sign with PRIM. Release Date: August 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Primoris Services Corp (NYSE:PRIM) achieved record highs in revenue, operating income, and earnings for the second quarter of 2025. The company is seeing significant opportunities in the data center market, with nearly $1.7 billion of work related to data centers being evaluated. The Utility segment experienced double-digit revenue growth, with improved margins due to increased activity and productivity. The Renewables business is on track to generate close to $2.5 billion, exceeding initial expectations due to high demand for power. Primoris Services Corp (NYSE:PRIM) reported a strong cash flow from operations, with a record $78 million in Q2, contributing to a year-to-date total of nearly $145 million. Negative Points The Energy segment experienced a decrease in gross margins, primarily due to fewer project closeouts and increased costs on certain renewables projects. The pipeline business saw a decline from the prior year, although the near-term outlook is improving. There is uncertainty in the battery storage market due to limitations on the domestic supply of materials and near-term market prospects. The company faces an unpredictable tariff and regulatory environment, which could impact future operations. Despite strong performance, there is a potential for seasonal decline in Q4, which could affect margins and revenue. Q & A Highlights Q: Is the expectation for a back-end loaded order book in terms of new awards still valid for the energy side of the business? A: David King, Chairman and Interim President and CEO, confirmed that the expectation remains for a back-end loaded order book. The company has started well, with bookings already in the first month of Q3, and anticipates heavier bookings in Q4, particularly in renewables. Q: How much of the overall demand in the Utilities segment stems from MSA customers versus the timing of spend? A: David King explained that a significant portion of the demand is driven by MSA work, particularly in gas and electric utilities. The company has initiatives to improve margins and sees improvement in crew productivity. Q: The Utilities segment's gross margin target for 2025 was increased. Is this a structural shift? A: Kenneth Dodgen, CFO, confirmed that the increase to a 10% to 12% margin target is due to structural improvements from various initiatives. The company expects to sustain these margins going forward. Q: How much of the $2.5 billion solar revenue target was realized in the first half of the year? A: Kenneth Dodgen stated that approximately $1.4 billion of the $2.5 billion target was realized in the first half. The company has increased its growth expectation for the year to $300 million to $400 million, up from the original $200 million to $250 million. Q: Can you quantify the impact of closeout payments in the Utilities segment on margins for the quarter? A: Kenneth Dodgen noted that closeouts, particularly in gas utility projects, contributed about $6 million of incremental gross profit during the quarter. Q: What were the main drivers for the strong bookings in the Utilities segment? A: Kenneth Dodgen explained that the growth was MSA-driven, spread across power delivery, gas, and communications. The company is seeing mid-single-digit growth in gas and communications, which is better than previously expected. Q: Are you planning to stick with the 380 kVa and below market for power delivery? A: David King confirmed that the company plans to focus on lower voltage ranges, despite some customer requests for work on 765 kVa lines. Q: Is the data center work incremental to your base plan, or is it repurposing existing teams? A: Kenneth Dodgen stated that most of the data center work is incremental to the original plan. The opportunities span transmission, substation, fiber, and generation. Q: What are the latest capital allocation priorities given the strong cash flow? A: Kenneth Dodgen mentioned that the focus remains on working capital improvement, debt reduction, and positioning for M&A opportunities, with no significant changes in priorities. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. 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Yahoo
05-08-2025
- Business
- Yahoo
Primoris Services (PRIM) Q2 Earnings and Revenues Top Estimates
Primoris Services (PRIM) came out with quarterly earnings of $1.68 per share, beating the Zacks Consensus Estimate of $1.06 per share. This compares to earnings of $1.04 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +58.49%. A quarter ago, it was expected that this construction contractor would post earnings of $0.72 per share when it actually produced earnings of $0.98, delivering a surprise of +36.11%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Primoris Services, which belongs to the Zacks Building Products - Heavy Construction industry, posted revenues of $1.89 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 12.27%. This compares to year-ago revenues of $1.56 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Primoris Services shares have added about 19.3% since the beginning of the year versus the S&P 500's gain of 6.1%. What's Next for Primoris Services? While Primoris Services has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Primoris Services was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.33 on $1.75 billion in revenues for the coming quarter and $4.48 on $6.77 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Building Products - Heavy Construction is currently in the top 5% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Dycom Industries (DY), another stock in the same industry, has yet to report results for the quarter ended July 2025. This provider of specialty contracting services is expected to post quarterly earnings of $2.86 per share in its upcoming report, which represents a year-over-year change of +16.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Dycom Industries' revenues are expected to be $1.4 billion, up 16.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Primoris Services Corporation (PRIM) : Free Stock Analysis Report Dycom Industries, Inc. (DY) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
05-08-2025
- Business
- Yahoo
Primoris Services (PRIM) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates
Primoris Services (PRIM) reported $1.89 billion in revenue for the quarter ended June 2025, representing a year-over-year increase of 20.9%. EPS of $1.68 for the same period compares to $1.04 a year ago. The reported revenue represents a surprise of +12.27% over the Zacks Consensus Estimate of $1.68 billion. With the consensus EPS estimate being $1.06, the EPS surprise was +58.49%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Primoris Services performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Total Backlog: $11.49 billion compared to the $11.26 billion average estimate based on two analysts. Revenue- Utilities: $693.02 million versus the three-analyst average estimate of $651.54 million. Revenue- Energy: $1.24 billion compared to the $1.04 billion average estimate based on three analysts. Gross Profit- Energy: $134.19 million versus $117.59 million estimated by three analysts on average. Gross Profit- Utilities: $97.55 million versus $68.42 million estimated by three analysts on average. View all Key Company Metrics for Primoris Services here>>> Shares of Primoris Services have returned +7.6% over the past month versus the Zacks S&P 500 composite's +0.6% change. The stock currently has a Zacks Rank #1 (Strong Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Primoris Services Corporation (PRIM) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
28-07-2025
- Business
- Yahoo
Primoris Services (PRIM) Earnings Expected to Grow: What to Know Ahead of Next Week's Release
Primoris Services (PRIM) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The earnings report, which is expected to be released on August 4, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. Zacks Consensus Estimate This construction contractor is expected to post quarterly earnings of $1.06 per share in its upcoming report, which represents a year-over-year change of +1.9%. Revenues are expected to be $1.68 billion, up 7.7% from the year-ago quarter. Estimate Revisions Trend The consensus EPS estimate for the quarter has been revised 0.53% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Earnings Whisper Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). How Have the Numbers Shaped Up for Primoris Services? For Primoris Services, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +5.33%. On the other hand, the stock currently carries a Zacks Rank of #1. So, this combination indicates that Primoris Services will most likely beat the consensus EPS estimate. Does Earnings Surprise History Hold Any Clue? Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Primoris Services would post earnings of $0.72 per share when it actually produced earnings of $0.98, delivering a surprise of +36.11%. Over the last four quarters, the company has beaten consensus EPS estimates four times. Bottom Line An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Primoris Services appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Expected Results of an Industry Player MasTec (MTZ), another stock in the Zacks Building Products - Heavy Construction industry, is expected to report earnings per share of $1.41 for the quarter ended June 2025. This estimate points to a year-over-year change of +46.9%. Revenues for the quarter are expected to be $3.39 billion, up 14.5% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for MasTec has been revised 0.6% up to the current level. Nevertheless, the company now has an Earnings ESP of +0.09%, reflecting a higher Most Accurate Estimate. This Earnings ESP, combined with its Zacks Rank #1 (Strong Buy), suggests that MasTec will most likely beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Primoris Services Corporation (PRIM) : Free Stock Analysis Report MasTec, Inc. (MTZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
