Construction Partners (NASDAQ:ROAD) Announces Earnings Results, Misses Estimates By $0.06 EPS

Key Points

• Construction Partners reported a $0.81 EPS for the quarter, falling short of analysts' expectations of $0.87 and achieving a 50.5% revenue increase year-over-year.
• The company's quarterly revenue amounted to $779.28 million, below the expected $810.47 million, while its return on equity stood at 11.49%.
• Institutional investors hold 94.83% of Construction Partners stock, with recent notable increases in positions from firms like AQR Capital Management and UBS Asset Management.

Construction Partners (NASDAQ:ROAD - Get Free Report) issued its quarterly earnings results on Thursday. The company reported $0.81 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.87 by ($0.06), Zacks reports. Construction Partners had a net margin of 3.04% and a return on equity of 12.75%. The business had revenue of $779.28 million during the quarter, compared to analyst estimates of $810.47 million. During the same period last year, the firm posted $0.59 earnings per share. Construction Partners's quarterly revenue was up 50.5% compared to the same quarter last year. Construction Partners updated its FY 2025 guidance to EPS.

Construction Partners Price Performance

NASDAQ ROAD traded up $4.83 during trading hours on Tuesday, reaching $118.39. The company's stock had a trading volume of 240,608 shares, compared to its average volume of 555,956. The firm's 50-day moving average price is $104.73 and its 200-day moving average price is $89.64. The company has a quick ratio of 1.13, a current ratio of 1.42 and a debt-to-equity ratio of 1.63. Construction Partners has a 1 year low of $56.52 and a 1 year high of $119.20. The company has a market capitalization of $6.63 billion, a price-to-earnings ratio of 86.31, a PEG ratio of 1.46 and a beta of 1.00.

Analyst Upgrades and Downgrades

ROAD has been the subject of several research analyst reports. Baird R W raised Construction Partners from a "hold" rating to a "strong-buy" rating in a research report on Friday. Raymond James Financial reissued a "strong-buy" rating on shares of Construction Partners in a report on Friday. Finally, Robert W. Baird set a $122.00 price objective on Construction Partners and gave the company an "outperform" rating in a report on Friday. One research analyst has rated the stock with a hold rating, two have issued a buy rating and two have given a strong buy rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Buy" and a consensus price target of $101.00.

Hedge Funds Weigh In On Construction Partners

Institutional investors have recently added to or reduced their stakes in the company. AQR Capital Management LLC grew its position in shares of Construction Partners by 14.4% during the 1st quarter. AQR Capital Management LLC now owns 10,333 shares of the company's stock worth $743,000 after buying an additional 1,302 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in Construction Partners by 11.2% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 96,191 shares of the company's stock worth $6,913,000 after buying an additional 9,656 shares during the last quarter. Intech Investment Management LLC grew its stake in Construction Partners by 11.4% during the 1st quarter. Intech Investment Management LLC now owns 24,292 shares of the company's stock valued at $1,746,000 after purchasing an additional 2,482 shares during the last quarter. Finally, Strs Ohio acquired a new position in shares of Construction Partners in the 1st quarter valued at about $165,000. Hedge funds and other institutional investors own 94.83% of the company's stock.

About Construction Partners

Construction Partners, Inc, a civil infrastructure company, constructs and maintains roadways in Alabama, Florida, Georgia, North Carolina, South Carolina, and Tennessee. The company provides various products and services to public and private infrastructure projects, such as highways, roads, bridges, airports, and commercial and residential developments.