Select Equity Group L.P. Cuts Stock Holdings in EMCOR Group, Inc. $EME

Key Points

• Select Equity Group L.P. reduced its stake in EMCOR Group, Inc. by 2.9%, selling 30,990 shares and retaining 1,033,013 shares, which now constitutes 1.6% of its portfolio.
• EMCOR Group reported $6.72 earnings per share for the last quarter, surpassing analyst expectations and showing a 17.4% year-over-year revenue increase.
• The company declared a quarterly dividend of $0.25 per share, reflecting a payout ratio of 4.15% and a modest annual yield of 0.2%.

Select Equity Group L.P. lessened its holdings in EMCOR Group, Inc. (NYSE:EME - Free Report) by 2.9% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 1,033,013 shares of the construction company's stock after selling 30,990 shares during the quarter. EMCOR Group comprises approximately 1.6% of Select Equity Group L.P.'s investment portfolio, making the stock its 21st largest holding. Select Equity Group L.P. owned 2.31% of EMCOR Group worth $381,833,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also made changes to their positions in the company. BankPlus Trust Department boosted its stake in EMCOR Group by 200.0% during the first quarter. BankPlus Trust Department now owns 72 shares of the construction company's stock worth $27,000 after buying an additional 48 shares during the last quarter. Migdal Insurance & Financial Holdings Ltd. acquired a new stake in shares of EMCOR Group in the first quarter valued at $28,000. Hazlett Burt & Watson Inc. acquired a new position in shares of EMCOR Group during the first quarter worth $30,000. Groupe la Francaise lifted its stake in EMCOR Group by 79.2% during the first quarter. Groupe la Francaise now owns 86 shares of the construction company's stock worth $33,000 after purchasing an additional 38 shares during the last quarter. Finally, Pandora Wealth Inc. acquired a new stake in EMCOR Group during the 1st quarter worth $37,000. Institutional investors and hedge funds own 92.59% of the company's stock.

EMCOR Group Stock Performance

Shares of NYSE EME traded up $5.70 during trading hours on Thursday, hitting $640.10. 499,289 shares of the company's stock were exchanged, compared to its average volume of 474,600. The company's 50-day moving average price is $600.83 and its 200-day moving average price is $487.55. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.18 and a quick ratio of 1.15. The stock has a market capitalization of $28.65 billion, a price-to-earnings ratio of 26.56 and a beta of 1.28. EMCOR Group, Inc. has a 1-year low of $320.89 and a 1-year high of $667.64.

EMCOR Group (NYSE:EME - Get Free Report) last released its earnings results on Thursday, July 31st. The construction company reported $6.72 EPS for the quarter, topping analysts' consensus estimates of $5.68 by $1.04. EMCOR Group had a net margin of 7.07% and a return on equity of 38.01%. The firm had revenue of $4.30 billion during the quarter, compared to analyst estimates of $4.10 billion. During the same quarter in the previous year, the business earned $5.25 EPS. The business's quarterly revenue was up 17.4% compared to the same quarter last year. EMCOR Group has set its FY 2025 guidance at 24.500-25.750 EPS. On average, sell-side analysts expect that EMCOR Group, Inc. will post 20.74 earnings per share for the current fiscal year.

EMCOR Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Tuesday, July 15th were issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date was Tuesday, July 15th. EMCOR Group's payout ratio is 4.15%.

Wall Street Analyst Weigh In

Several analysts have recently commented on the stock. The Goldman Sachs Group raised their target price on shares of EMCOR Group from $384.00 to $435.00 and gave the stock a "sell" rating in a research note on Tuesday, July 8th. Northcoast Research lowered EMCOR Group from a "buy" rating to a "neutral" rating and set a $500.00 target price on the stock. in a research report on Thursday, August 7th. William Blair assumed coverage on shares of EMCOR Group in a research report on Thursday. They set an "outperform" rating for the company. Stifel Nicolaus lifted their price target on shares of EMCOR Group from $503.00 to $597.00 and gave the stock a "buy" rating in a research note on Friday, July 11th. Finally, Jefferies Financial Group started coverage on shares of EMCOR Group in a research note on Friday, June 27th. They set a "buy" rating on the stock. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $594.50.

About EMCOR Group

EMCOR Group, Inc provides construction and facilities, building, and industrial services in the United States and the United Kingdom. It offers design, integration, installation, start-up, operation, and maintenance services related to power transmission, distribution, and generation systems; energy solutions; premises electrical and lighting systems; process instrumentation; low-voltage systems; voice and data communications systems; roadway and transit lighting, signaling, and fiber optic lines; computerized traffic control systems, and signal and communication equipment; heating, ventilation, air conditioning, refrigeration, and geothermal solutions; clean-room process ventilation systems; fire protection and suppression systems; plumbing, process, and high-purity piping systems; controls and filtration systems; water and wastewater treatment systems; central plant heating and cooling systems; crane and rigging services; millwright services; and steel fabrication, erection, and welding services.