Hsbc Holdings PLC Sells 17,842 Shares of Granite Construction Incorporated $GVA

Key Points

• HSBC significantly reduced its Granite Construction stake: The firm sold 17,842 shares during the first quarter, cutting its holdings by 81.8% to 3,982 shares valued at approximately $478,000.
• Granite reported strong revenue growth but missed on adjusted earnings: Second-quarter revenue rose 28.8% year over year to $1.46 billion, beating estimates, while adjusted EPS of $2.16 fell short of the $2.25 consensus. A $278 million net loss was driven largely by a $360 million non-operating charge related to convertible-note transactions.
• The outlook and analyst views remain mixed: Granite raised its 2026 revenue guidance to $5.3 billion–$5.5 billion and expects 2027 organic growth above 10%, but analyst targets range from Goldman Sachs’ $119 “sell” rating to Oppenheimer’s $180 “outperform” target.

Hsbc Holdings PLC lessened its holdings in Granite Construction Incorporated (NYSE:GVA - Free Report) by 81.8% during the first quarter, according to its most recent disclosure with the SEC. The institutional investor owned 3,982 shares of the construction company's stock after selling 17,842 shares during the period. Hsbc Holdings PLC's holdings in Granite Construction were worth $478,000 as of its most recent SEC filing.

Several other large investors also recently added to or reduced their stakes in the business. AQR Capital Management LLC increased its stake in Granite Construction by 73.2% in the 1st quarter. AQR Capital Management LLC now owns 21,379 shares of the construction company's stock worth $1,612,000 after acquiring an additional 9,038 shares during the last quarter. United Services Automobile Association purchased a new stake in shares of Granite Construction in the 1st quarter valued at about $207,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in shares of Granite Construction by 21.1% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 168,859 shares of the construction company's stock valued at $12,732,000 after acquiring an additional 29,428 shares during the last quarter. Marshall Wace LLP boosted its position in shares of Granite Construction by 2,423.4% during the 2nd quarter. Marshall Wace LLP now owns 89,882 shares of the construction company's stock valued at $8,405,000 after acquiring an additional 86,320 shares during the last quarter. Finally, WINTON GROUP Ltd purchased a new position in shares of Granite Construction during the second quarter worth about $229,000.

Key Granite Construction News

Here are the key news stories impacting Granite Construction this week:

• Positive Sentiment: Raised revenue outlook: Granite increased its 2026 revenue guidance to $5.3 billion–$5.5 billion and lifted its 2027 organic-growth outlook to above 10%. Management cited continued federal, state and private infrastructure funding as key growth drivers. Granite outlines 2026 revenue outlook
• Positive Sentiment: Revenue beat expectations: Second-quarter revenue rose approximately 29% year over year to $1.46 billion, exceeding the roughly $1.41 billion consensus estimate. Adjusted EBITDA also increased 22% to about $186 million, with public infrastructure activity providing the main source of momentum. Granite Reports Second Quarter 2026 Results
• Positive Sentiment: Bullish analyst view: Oppenheimer raised its price target from $170 to $180 and maintained an “outperform” rating, implying substantial upside based on the supplied reference price. Oppenheimer raises Granite price target
• Neutral Sentiment: Analyst opinions diverged: Goldman Sachs cut its target from $139 to $119 and assigned a “sell” rating, citing limited near-term upside, while Oppenheimer took the opposite view. This split highlights uncertainty around valuation and execution.
• Negative Sentiment: Headline loss and cost pressures: Granite reported a $278 million net loss, or $(6.36) per share, versus prior-year profit. The loss primarily reflected a $360 million non-operating charge tied to convertible-note transactions. Adjusted EPS of $2.16 also fell short of the $2.25 consensus, while severe Southeast weather and higher quarry-development costs pressured materials margins. Adjusted EBITDA margin guidance remained unchanged at 12.25%–13.25%.

Insider Transactions at Granite Construction

In related news, Director John Timothy Romer bought 375 shares of the stock in a transaction dated Monday, June 15th. The stock was bought at an average price of $143.65 per share, with a total value of $53,868.75. Following the purchase, the director owned 2,801 shares in the company, valued at approximately $402,363.65. The trade was a 15.46% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Also, SVP Bradley Jay Williams sold 6,734 shares of the firm's 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 owned 7,041 shares in the company, valued at approximately $992,781. The trade was a 48.89% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.88% of the company's stock.

Granite Construction Price Performance

Shares of Granite Construction stock opened at $120.63 on Friday. Granite Construction Incorporated has a 52-week low of $89.80 and a 52-week high of $162.08. The stock has a market capitalization of $5.28 billion, a price-to-earnings ratio of -27.99 and a beta of 1.29. The company has a fifty day moving average of $136.77 and a 200-day moving average of $130.49. The company has a debt-to-equity ratio of 1.46, a quick ratio of 0.97 and a current ratio of 1.01.

Granite Construction (NYSE:GVA - Get Free Report) last issued its earnings results on Thursday, July 30th. The construction company reported $2.16 EPS for the quarter, missing analysts' consensus estimates of $2.25 by ($0.09). The business had revenue of $1.46 billion during the quarter, compared to analysts' expectations of $1.41 billion. Granite Construction had a positive return on equity of 27.83% and a negative net margin of 3.32%.Granite Construction's revenue for the quarter was up 28.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.42 EPS. Equities research analysts expect that Granite Construction Incorporated will post 6.14 EPS for the current year.

Granite Construction Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the stock. The Goldman Sachs Group decreased their price objective on shares of Granite Construction from $139.00 to $119.00 and set a "sell" rating on the stock in a research report on Friday. Weiss Ratings lowered shares of Granite Construction from a "hold (c+)" rating to a "hold (c)" rating in a research report on Tuesday, July 21st. Oppenheimer boosted their price target on shares of Granite Construction from $170.00 to $180.00 and gave the stock an "outperform" rating in a research note on Friday. Wall Street Zen lowered shares of Granite Construction from a "buy" rating to a "hold" rating in a report on Saturday, July 18th. Finally, Stephens began coverage on shares of Granite Construction in a research report on Friday, June 26th. They set an "overweight" rating and a $180.00 price objective on the stock. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price 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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