Construction Partners (NASDAQ:ROAD) Upgraded by Zacks Research to "Strong-Buy" Rating

Key Points

• Zacks Research upgraded Construction Partners from “hold” to “strong-buy,” adding to a mixed but generally positive analyst backdrop for the stock.
• Recent analyst views remain varied, with ratings including Buy, Hold, and Strong Buy; the consensus rating is Moderate Buy with a consensus price target of $132.50.
• Construction Partners recently reported better-than-expected quarterly results, posting EPS of $0.18 versus a loss estimate and revenue of $769.2 million, up 34.6% year over year.

Construction Partners (NASDAQ:ROAD - Get Free Report) was upgraded by analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a report released on Tuesday,Zacks.com reports.

A number of other equities research analysts also recently issued reports on ROAD. Truist Financial assumed coverage on shares of Construction Partners in a report on Wednesday, June 3rd. They issued a "hold" rating and a $130.00 target price for the company. Weiss Ratings lowered shares of Construction Partners from a "buy (b-)" rating to a "hold (c+)" rating in a report on Tuesday, May 26th. B. Riley Financial raised shares of Construction Partners from a "neutral" rating to a "buy" rating and boosted their price objective for the company from $117.00 to $135.00 in a research note on Thursday, April 2nd. Raymond James Financial restated a "strong-buy" rating and set a $140.00 price objective on shares of Construction Partners in a report on Monday, April 27th. Finally, Robert W. Baird reduced their target price on Construction Partners from $169.00 to $145.00 and set an "outperform" rating on the stock in a report on Wednesday, July 1st. Two investment analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $132.50.

Construction Partners Price Performance

ROAD stock opened at $101.90 on Tuesday. The stock has a market capitalization of $5.76 billion, a price-to-earnings ratio of 44.69, a price-to-earnings-growth ratio of 0.86 and a beta of 0.88. The company has a quick ratio of 1.21, a current ratio of 1.53 and a debt-to-equity ratio of 1.75. Construction Partners has a 52-week low of $93.22 and a 52-week high of $151.00. The stock's fifty day simple moving average is $117.58 and its 200-day simple moving average is $117.99.

Construction Partners (NASDAQ:ROAD - Get Free Report) last released its earnings results on Friday, May 8th. The company reported $0.18 earnings per share for the quarter, topping the consensus estimate of ($0.05) by $0.23. The firm had revenue of $769.20 million for the quarter, compared to the consensus estimate of $678.46 million. Construction Partners had a return on equity of 15.22% and a net margin of 3.90%.The firm's revenue for the quarter was up 34.6% compared to the same quarter last year. During the same period in the prior year, the business posted $0.08 earnings per share. Equities research analysts expect that Construction Partners will post 2.95 EPS for the current year.

Hedge Funds Weigh In On Construction Partners

Institutional investors and hedge funds have recently bought and sold shares of the stock. AQR Capital Management LLC boosted its holdings in shares of Construction Partners by 14.4% in the first quarter. AQR Capital Management LLC now owns 10,333 shares of the company's stock valued at $743,000 after acquiring an additional 1,302 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Construction Partners by 11.2% in 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 in the last quarter. Intech Investment Management LLC lifted its holdings in shares of Construction Partners by 11.4% in the first quarter. Intech Investment Management LLC now owns 24,292 shares of the company's stock valued at $1,746,000 after buying an additional 2,482 shares during the period. Strs Ohio acquired a new stake in shares of Construction Partners in the first quarter valued at $165,000. Finally, Hsbc Holdings PLC bought a new position in Construction Partners during the second quarter valued at about $552,000. Institutional investors own 94.83% of the company's stock.

Construction Partners Company Profile

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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