EFG International AG Makes New $6.42 Million Investment in Granite Construction Incorporated $GVA

Key Points

• EFG International AG initiated a $6.42 million position in Granite Construction, purchasing 40,587 shares, while several other institutional investors also established new stakes during the second quarter.
• Granite Construction reported quarterly revenue of $1.46 billion, up 28.8% year over year, but earnings per share of $2.16 missed analyst expectations of $2.25. The company posted a negative net margin of 3.32%.
• Analyst sentiment remains moderately positive, with a consensus rating of “Moderate Buy” and a $158.50 price target versus the reported share price of $122.34; the company also maintains a quarterly dividend of $0.13 per share.

EFG International AG bought a new position in Granite Construction Incorporated (NYSE:GVA - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 40,587 shares of the construction company's stock, valued at approximately $6,424,000. EFG International AG owned about 0.09% of Granite Construction at the end of the most recent quarter.

A number of other hedge funds also recently made changes to their positions in GVA. Expect Equity LLC bought a new stake in shares of Granite Construction during the 2nd quarter valued at approximately $1,872,000. PDT Partners LLC bought a new position in Granite Construction in the 2nd quarter valued at approximately $11,424,000. Canada Pension Plan Investment Board acquired a new stake in Granite Construction in the second quarter valued at approximately $6,307,000. Legal & General Group Plc acquired a new stake in Granite Construction in the second quarter valued at approximately $16,521,000. Finally, The Manufacturers Life Insurance Company acquired a new stake in Granite Construction in the second quarter valued at approximately $3,560,000.

Granite Construction Price Performance

Shares of NYSE:GVA opened at $122.34 on Wednesday. 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 Incorporated has a 52 week low of $97.26 and a 52 week high of $162.08. The firm has a market cap of $5.35 billion, a PE ratio of -28.38 and a beta of 1.33. The firm's fifty day moving average is $132.13 and its 200-day moving average is $130.92.

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

Granite Construction Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th were paid a $0.13 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.52 annualized dividend and a dividend yield of 0.4%. Granite Construction's dividend payout ratio is presently -12.06%.

Insider Buying and Selling

In related news, SVP Bradley Jay Williams sold 6,734 shares of Granite Construction stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $141.00, for a total value of $949,494.00. Following the transaction, the senior vice president directly owned 7,041 shares of the company's stock, valued at $992,781. The trade was a 48.89% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP Michael G. Tatusko sold 7,500 shares of the company's stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $141.00, for a total value of $1,057,500.00. Following the completion of the sale, the senior vice president owned 29,787 shares in the company, valued at $4,199,967. The trade was a 20.11% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders purchased 1,150 shares of company stock worth $156,636. Corporate insiders own 0.88% of the company's stock.

Wall Street Analyst Weigh In

GVA has been the subject of several research analyst reports. Weiss Ratings upgraded shares of Granite Construction from a "sell (d+)" rating to a "hold (c-)" rating in a report on Tuesday, August 18th. Stephens started coverage on Granite Construction in a research report on Friday, June 26th. They set an "overweight" rating and a $180.00 price objective on the stock. Oppenheimer upped their target price on Granite Construction from $170.00 to $180.00 and gave the stock an "outperform" rating in a report on Friday, July 31st. The Goldman Sachs Group dropped their target price on Granite Construction from $139.00 to $119.00 and set a "sell" rating for the company in a research report on Friday, July 31st. Finally, Zacks Research raised Granite Construction to a "hold" rating in a research note on Friday, May 29th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Granite Construction currently has an average rating of "Moderate Buy" and a consensus price target of $158.50.

Granite Construction Company Profile

Granite Construction Inc is a publicly traded heavy civil contractor and construction materials producer based in Watsonville, California. The company specializes in delivering large-scale infrastructure projects for government and private clients, focusing on the development, rehabilitation and maintenance of transportation, water resource and industrial facilities. Its turnkey solutions span the full project lifecycle, from preconstruction and design-build to construction management and facilities maintenance.

In its construction segment, Granite undertakes highway and bridge building, airport runway and taxiway construction, marine terminal and port improvements, dam and reservoir projects, transit systems and underground utilities.

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