Construction Partners, Inc. (NASDAQ:ROAD) Short Interest Update

Key Points

• Short interest surged 72.1% in July to 4.56 million shares, representing approximately 9.6% of Construction Partners’ outstanding shares and 2.8 days of average trading volume.
• Despite the increased short interest, the company reported strong quarterly results, with EPS of $1.08 beating estimates and revenue rising 28.2% year over year to $999.42 million.
• Analyst sentiment remains positive but moderated, with a consensus “Moderate Buy” rating and an average price target of $133.50; institutional investors own 94.83% of the stock.

Construction Partners, Inc. (NASDAQ:ROAD - Get Free Report) was the target of a large growth in short interest during the month of July. As of July 31st, there was short interest totaling 4,564,569 shares, a growth of 72.1% from the July 15th total of 2,652,051 shares. Approximately 9.6% of the company's shares are short sold. Based on an average daily volume of 1,617,705 shares, the short-interest ratio is presently 2.8 days.

Construction Partners Stock Down 1.0%

Shares of NASDAQ:ROAD traded down $1.19 during trading on Monday, hitting $120.36. The stock had a trading volume of 231,517 shares, compared to its average volume of 692,133. Construction Partners has a 12 month low of $93.42 and a 12 month high of $151.00. The company has a market capitalization of $6.83 billion, a PE ratio of 47.20, a PEG ratio of 1.13 and a beta of 0.90. The firm's fifty day moving average is $110.39 and its 200 day moving average is $116.84. The company has a quick ratio of 1.26, a current ratio of 1.57 and a debt-to-equity ratio of 1.68.

Construction Partners (NASDAQ:ROAD - Get Free Report) last released its quarterly earnings results on Friday, August 7th. The company reported $1.08 earnings per share for the quarter, beating the consensus estimate of $1.01 by $0.07. The company had revenue of $999.42 million for the quarter, compared to analyst estimates of $948.77 million. Construction Partners had a return on equity of 16.06% and a net margin of 4.10%.The firm's revenue was up 28.2% on a year-over-year basis. During the same period in the previous year, the company posted $0.81 earnings per share. Analysts anticipate that Construction Partners will post 3.02 EPS for the current fiscal year.

Institutional Trading of Construction Partners

A number of hedge funds have recently modified their holdings of ROAD. Morse Asset Management Inc increased its stake in shares of 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 acquiring an additional 180 shares in the last quarter. Danske Bank A S purchased a new stake in Construction Partners in the third quarter worth about $38,000. Harbor Investment Advisory LLC bought a new position in shares of Construction Partners during the first quarter valued at approximately $39,000. Hollencrest Capital Management purchased a new position in shares of Construction Partners during the first quarter valued at approximately $39,000. Finally, Quarry LP bought a new stake in shares of Construction Partners in the 3rd quarter worth approximately $42,000. Institutional investors own 94.83% of the company's stock.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on the company. Robert W. Baird cut their price objective on Construction Partners from $145.00 to $141.00 and set an "outperform" rating on the stock in a research report on Monday, August 10th. Zacks Research downgraded Construction Partners from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 16th. Truist Financial assumed coverage on Construction Partners in a research note on Wednesday, June 3rd. They issued a "hold" rating and a $130.00 price target for the company. Raymond James Financial cut their price target on shares of Construction Partners from $161.00 to $150.00 and set a "strong-buy" rating on the stock in a report on Wednesday, July 15th. Finally, Weiss Ratings raised shares of Construction Partners from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Tuesday, August 11th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $133.50.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source