Granite Construction Incorporated (NYSE:GVA) Stock Now Rated "Hold" by Sell-Side Brokerages

Key Points

• Granite Construction has a consensus “Hold” rating from six brokerages, with two sell, one hold, two buy and one strong-buy recommendation. The average 12-month price target is $158.50 versus a recent share price of $116.38.
• The company reported quarterly revenue of $1.46 billion, up 28.8% year over year and above estimates, but earnings per share of $2.16 fell short of the $2.25 consensus forecast.
• Granite declared a quarterly dividend of $0.13 per share, equivalent to $0.52 annually and a 0.4% yield; director Carlos M. Hernandez also purchased 400 shares worth approximately $49,596.

Shares of Granite Construction Incorporated (NYSE:GVA - Get Free Report) have been given an average rating of "Hold" by the six brokerages that are covering the company, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating, one has assigned a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company. The average 12-month price target among brokers that have covered the stock in the last year is $158.50.

Several equities analysts have recently weighed in on GVA shares. Oppenheimer lifted their target price on shares of Granite Construction from $170.00 to $180.00 and gave the stock an "outperform" rating in a research note on Friday, July 31st. Weiss Ratings lowered shares of Granite Construction from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Wednesday, September 2nd. The Goldman Sachs Group lowered their target price on shares of Granite Construction from $139.00 to $119.00 and set a "sell" rating on the stock in a report on Friday, July 31st. Stephens initiated coverage on Granite Construction in a report on Friday, June 26th. They issued an "overweight" rating and a $180.00 price target for the company. Finally, Wall Street Zen cut Granite Construction from a "buy" rating to a "hold" rating in a research report on Saturday, July 18th.

Granite Construction Stock Performance

NYSE GVA opened at $116.38 on Wednesday. The company has a market capitalization of $5.09 billion, a PE ratio of -27.00 and a beta of 1.32. The company has a debt-to-equity ratio of 1.46, a quick ratio of 0.94 and a current ratio of 1.01. Granite Construction has a 52-week low of $97.26 and a 52-week high of $162.08. The company has a 50-day simple moving average of $120.54 and a 200 day simple moving average of $128.49.

Granite Construction (NYSE:GVA - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The construction company reported $2.16 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.25 by ($0.09). The company had revenue of $1.46 billion for the quarter, compared to analysts' expectations of $1.41 billion. Granite Construction had a positive return on equity of 27.83% and a negative net margin of 3.32%.The company's revenue for the quarter was up 28.8% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.42 EPS. On average, research analysts predict that Granite Construction will post 6.36 EPS for the current year.

Granite Construction Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th will be paid a $0.13 dividend. The ex-dividend date is Wednesday, September 30th. This represents a $0.52 annualized dividend and a yield of 0.4%. Granite Construction's dividend payout ratio (DPR) is currently -12.06%.

Insider Buying and Selling

In other news, Director Carlos M. Hernandez acquired 400 shares of the business's stock in a transaction dated Thursday, August 6th. The stock was bought at an average cost of $123.99 per share, for a total transaction of $49,596.00. Following the completion of the transaction, the director owned 5,033 shares of the company's stock, valued at $624,041.67. The trade was a 8.63% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 0.88% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Root Financial Partners LLC increased its position in shares of Granite Construction by 30.9% in the first quarter. Root Financial Partners LLC now owns 381 shares of the construction company's stock worth $46,000 after purchasing an additional 90 shares during the last quarter. Public Employees Retirement System of Ohio purchased a new stake in shares of Granite Construction during the 2nd quarter valued at $86,000. Clearstead Advisors LLC lifted its holdings in shares of Granite Construction by 168.2% during the 4th quarter. Clearstead Advisors LLC now owns 869 shares of the construction company's stock worth $100,000 after acquiring an additional 545 shares during the last quarter. Parallel Advisors LLC grew its position in Granite Construction by 133.4% in the first quarter. Parallel Advisors LLC now owns 873 shares of the construction company's stock worth $105,000 after acquiring an additional 499 shares in the last quarter. Finally, Global Retirement Partners LLC grew its position in Granite Construction by 303.2% in the fourth quarter. Global Retirement Partners LLC now owns 1,137 shares of the construction company's stock worth $131,000 after acquiring an additional 855 shares in the last quarter.

About Granite Construction

Granite Construction Incorporated NYSE: GVA is a civil infrastructure contractor that delivers construction and engineering services for public and private-sector customers. The company's work includes the development and rehabilitation of transportation infrastructure such as highways, roads, bridges, airports, rail systems and mass-transit facilities.

Granite also provides services for water and wastewater systems, dams, utilities and other complex infrastructure projects. Its capabilities include project development, construction management, design-build delivery, general contracting, excavation, paving and related construction services.

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