Construction Partners, Inc. (NASDAQ:ROAD) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Moderate Buy consensus from seven brokerages (3 Hold, 2 Buy, 2 Strong Buy) with an average 12‑month price target of $127.80.
• Fiscal quarter results beat expectations—reported $0.47 EPS vs. $0.31 estimate and revenue of $809.47M, up 44.1% year‑over‑year.
• Valuation and ownership: market cap roughly $6.28B with a P/E of 50.51 and PEG of 0.94, and institutional investors hold about 94.83% of the stock.

Shares of Construction Partners, Inc. (NASDAQ:ROAD - Get Free Report) have been assigned a consensus rating of "Moderate Buy" from the seven brokerages that are presently covering the stock, MarketBeat reports. Three analysts have rated the stock with a hold recommendation, two have given a buy recommendation and two have given a strong buy recommendation to the company. The average 12 month price objective among brokers that have covered the stock in the last year is $127.80.

A number of research analysts have commented on the stock. Zacks Research upgraded shares of Construction Partners from a "strong sell" rating to a "strong-buy" rating in a research report on Thursday, January 29th. DA Davidson boosted their price objective on shares of Construction Partners from $120.00 to $130.00 and gave the stock a "neutral" rating in a report on Friday, February 6th. B. Riley Financial started coverage on shares of Construction Partners in a research note on Thursday, January 15th. They issued a "neutral" rating and a $117.00 price objective for the company. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Construction Partners in a report on Monday, December 29th. Finally, Robert W. Baird set a $142.00 target price on shares of Construction Partners in a research report on Friday, February 6th.

Construction Partners Price Performance

ROAD opened at $111.12 on Wednesday. The company has a current ratio of 1.59, a quick ratio of 1.26 and a debt-to-equity ratio of 1.76. The stock has a market capitalization of $6.28 billion, a P/E ratio of 50.51, a PEG ratio of 0.94 and a beta of 0.83. The stock has a 50-day moving average price of $121.70 and a 200-day moving average price of $117.21. Construction Partners has a 12-month low of $64.79 and a 12-month high of $141.90.

Construction Partners (NASDAQ:ROAD - Get Free Report) last announced its quarterly earnings data on Thursday, February 5th. The company reported $0.47 earnings per share for the quarter, beating analysts' consensus estimates of $0.31 by $0.16. The company had revenue of $809.47 million for the quarter, compared to analysts' expectations of $740.14 million. Construction Partners had a return on equity of 15.26% and a net margin of 3.99%.Construction Partners's revenue for the quarter was up 44.1% compared to the same quarter last year. During the same period last year, the firm posted $0.25 EPS. Equities analysts predict that Construction Partners will post 1.96 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of ROAD. TD Waterhouse Canada Inc. purchased a new stake in Construction Partners during the 3rd quarter valued at about $25,000. AlphaQuest LLC grew its position in Construction Partners by 292.5% during the 3rd quarter. AlphaQuest LLC now owns 208 shares of the company's stock worth $26,000 after acquiring an additional 155 shares during the last quarter. Morse Asset Management Inc increased its stake in Construction Partners by 300.0% in the 3rd quarter. Morse Asset Management Inc now owns 240 shares of the company's stock worth $30,000 after purchasing an additional 180 shares during the period. Danske Bank A S purchased a new position in Construction Partners in the 3rd quarter worth approximately $38,000. Finally, Quarry LP bought a new stake in Construction Partners in the third quarter valued at approximately $42,000. Hedge funds and other institutional investors own 94.83% of the company's stock.

About Construction Partners

Construction Partners, Inc NASDAQ: ROAD is a specialty contractor and infrastructure solutions provider focused on road building, paving, site development and aggregate production. The company delivers a comprehensive suite of civil construction services, including roadway paving and milling, site grading and preparation, stormwater and utility installation, and full-scale asphalt plant operations. By integrating materials production with contracting capabilities, the firm aims to streamline project delivery and maintain quality control across its contracting and materials businesses.

At the heart of Construction Partners' operations are its network of asphalt plants, quarries and aggregate production facilities.

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