Encompass Capital Advisors LLC Acquires 74,184 Shares of Primoris Services Co. $PRIM

Key Points

• Encompass Capital Advisors LLC increased its stake in Primoris Services Co. by 15.7%, acquiring an additional 74,184 shares, bringing their total holdings to approximately $31.43 million.
• Multiple hedge funds have repositioned their investments in Primoris, with significant increases from Nuveen LLC and Fuller & Thaler Asset Management, showcasing growing institutional interest in the company.
• Primoris Services reported strong financial performance with $1.68 EPS for the quarter, significantly exceeding estimates, and a year-over-year revenue increase of 20.9%.

Encompass Capital Advisors LLC boosted its holdings in shares of Primoris Services Co. (NASDAQ:PRIM - Free Report) by 15.7% in the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 547,472 shares of the construction company's stock after acquiring an additional 74,184 shares during the quarter. Encompass Capital Advisors LLC owned 1.01% of Primoris Services worth $31,430,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Versant Capital Management Inc increased its position in Primoris Services by 294.1% during the 1st quarter. Versant Capital Management Inc now owns 465 shares of the construction company's stock valued at $27,000 after buying an additional 347 shares in the last quarter. Brooklyn Investment Group increased its stake in Primoris Services by 3,626.7% during the first quarter. Brooklyn Investment Group now owns 559 shares of the construction company's stock worth $32,000 after acquiring an additional 544 shares during the last quarter. Sound Income Strategies LLC acquired a new stake in shares of Primoris Services in the first quarter valued at $45,000. Twin Tree Management LP purchased a new position in Primoris Services in the first quarter valued at $59,000. Finally, Headlands Technologies LLC purchased a new stake in Primoris Services during the 1st quarter worth about $68,000. 91.82% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

PRIM has been the topic of several recent analyst reports. DA Davidson boosted their target price on Primoris Services from $85.00 to $125.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. JPMorgan Chase & Co. increased their price target on Primoris Services from $90.00 to $102.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 22nd. KeyCorp upped their price target on Primoris Services from $119.00 to $129.00 and gave the company an "overweight" rating in a report on Tuesday, September 2nd. Janney Montgomery Scott started coverage on shares of Primoris Services in a research note on Thursday, July 3rd. They issued a "buy" rating and a $102.00 price target on the stock. Finally, Guggenheim upped their price target on shares of Primoris Services from $110.00 to $130.00 and gave the company a "buy" rating in a report on Tuesday, August 19th. Eight equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $103.70.

Insider Transactions at Primoris Services

In other Primoris Services news, Director John P. Schauerman sold 20,000 shares of the stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $114.01, for a total transaction of $2,280,200.00. Following the completion of the transaction, the director owned 82,281 shares in the company, valued at $9,380,856.81. This trade represents a 19.55% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Company insiders own 0.90% of the company's stock.

Primoris Services Stock Performance

Shares of PRIM stock traded down $3.73 during midday trading on Tuesday, hitting $112.23. 566,025 shares of the company were exchanged, compared to its average volume of 916,456. The firm has a market capitalization of $6.06 billion, a P/E ratio of 37.21 and a beta of 1.42. The company has a debt-to-equity ratio of 0.61, a quick ratio of 1.38 and a current ratio of 1.38. The firm's 50 day moving average price is $100.96 and its two-hundred day moving average price is $78.71. Primoris Services Co. has a 52 week low of $48.40 and a 52 week high of $120.25.

Primoris Services (NASDAQ:PRIM - Get Free Report) last issued its earnings results on Monday, August 4th. The construction company reported $1.68 EPS for the quarter, beating the consensus estimate of $1.10 by $0.58. The company had revenue of $1.89 billion during the quarter, compared to analysts' expectations of $1.69 billion. Primoris Services had a net margin of 2.68% and a return on equity of 15.23%. The business's revenue for the quarter was up 20.9% compared to the same quarter last year. During the same period in the previous year, the company earned $1.04 EPS. Primoris Services has set its FY 2025 guidance at 4.900-5.100 EPS. As a group, equities research analysts anticipate that Primoris Services Co. will post 3.26 earnings per share for the current year.

Primoris Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Investors of record on Tuesday, September 30th will be issued a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date is Tuesday, September 30th. Primoris Services's dividend payout ratio (DPR) is 7.26%.

About Primoris Services

Primoris Services Corporation, a specialty contractor company, provides a range of specialty construction, fabrication, maintenance, replacement, and engineering services in the United States and Canada. The company operates through Utilities and Energy/Renewables segments. The Utilities segment offers installation and maintenance services for new and existing natural gas distribution systems, electric utility distribution and transmission systems, and communications systems.