Primoris Services (NYSE:PRIM) Upgraded to Neutral at The Goldman Sachs Group

Key Points

• Goldman Sachs upgraded Primoris Services from “sell” to “neutral” and set a $102 price target, implying about 10% upside from the prior close.
• The stock has seen mixed analyst sentiment: while firms like Guggenheim and Wolfe Research remain bullish, others have lowered targets or ratings, and the consensus view is still Moderate Buy with an average target of $146.27.
• Primoris recently reported weaker-than-expected earnings and revenue, and the article highlights ongoing concerns around renewables project cost overruns and leadership uncertainty after the COO’s abrupt departure.

Primoris Services (NYSE:PRIM - Get Free Report) was upgraded by The Goldman Sachs Group from a "sell" rating to a "neutral" rating in a research report issued to clients and investors on Thursday, MarketBeat.com reports. The firm currently has a $102.00 price objective on the stock. The Goldman Sachs Group's price objective would suggest a potential upside of 10.48% from the company's previous close.

PRIM has been the subject of several other reports. Mizuho dropped their price objective on Primoris Services from $135.00 to $117.00 and set an "outperform" rating for the company in a research note on Tuesday. Zacks Research lowered Primoris Services from a "hold" rating to a "strong sell" rating in a report on Tuesday, May 12th. Guggenheim reissued a "buy" rating and issued a $162.00 target price on shares of Primoris Services in a report on Tuesday. Wolfe Research reaffirmed an "outperform" rating and set a $149.00 price target on shares of Primoris Services in a research note on Monday, June 15th. Finally, Wall Street Zen lowered shares of Primoris Services from a "buy" rating to a "hold" rating in a research report on Saturday, February 28th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $146.27.

Primoris Services Stock Up 8.7%

PRIM stock opened at $92.33 on Thursday. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 0.24. The company's 50-day moving average price is $127.66 and its 200 day moving average price is $137.91. Primoris Services has a 52 week low of $65.00 and a 52 week high of $205.50. The company has a market cap of $5.01 billion, a P/E ratio of 20.34 and a beta of 1.36.

Primoris Services (NYSE:PRIM - Get Free Report) last posted its quarterly earnings results on Tuesday, May 5th. The company reported $0.59 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.87 by ($0.28). The company had revenue of $1.56 billion for the quarter, compared to analyst estimates of $1.73 billion. Primoris Services had a net margin of 3.31% and a return on equity of 16.48%. Primoris Services's revenue was down 5.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.98 earnings per share. Primoris Services has set its FY 2026 guidance at 4.800-5.000 EPS. On average, research analysts expect that Primoris Services will post 4.55 earnings per share for the current fiscal year.

Insider Transactions at Primoris Services

In other Primoris Services news, insider John M. Perisich sold 29,707 shares of the stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $127.86, for a total transaction of $3,798,337.02. Following the transaction, the insider owned 27,574 shares of the company's stock, valued at $3,525,611.64. This represents a 51.86% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, Director David Lee King sold 20,000 shares of the firm's stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $119.09, for a total value of $2,381,800.00. Following the sale, the director owned 14,941 shares in the company, valued at $1,779,323.69. This trade represents a 57.24% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.10% of the stock is currently owned by corporate insiders.

Institutional Trading of Primoris Services

A number of hedge funds have recently added to or reduced their stakes in PRIM. Nordea Investment Management AB purchased a new position in Primoris Services during the fourth quarter worth approximately $7,181,000. New York State Teachers Retirement System lifted its stake in shares of Primoris Services by 327.8% in the 4th quarter. New York State Teachers Retirement System now owns 20,892 shares of the company's stock valued at $2,594,000 after purchasing an additional 16,008 shares in the last quarter. Principal Financial Group Inc. increased its position in Primoris Services by 509.6% during the 4th quarter. Principal Financial Group Inc. now owns 336,713 shares of the company's stock worth $41,800,000 after purchasing an additional 281,482 shares in the last quarter. Massachusetts Financial Services Co. MA raised its holdings in Primoris Services by 2,338.5% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 314,426 shares of the company's stock valued at $39,033,000 after buying an additional 301,532 shares during the period. Finally, UBS Group AG grew its stake in Primoris Services by 2.4% during the fourth quarter. UBS Group AG now owns 638,876 shares of the company's stock worth $79,310,000 after buying an additional 15,112 shares during the period. 91.82% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Primoris Services

Here are the key news stories impacting Primoris Services this week:

• Positive Sentiment: Guggenheim reiterated a Buy rating and a $162 price target, suggesting meaningful upside if execution improves.
• Neutral Sentiment: KeyCorp kept a Sector Weight rating but lowered FY2027 EPS estimates to $5.09 from $5.87, reflecting a more cautious longer-term outlook.
• Neutral Sentiment: Mizuho cut its price target to $117 from $135 while keeping an Outperform rating, indicating analyst support remains but expectations have been reset.
• Negative Sentiment: Primoris cut FY2026 EPS guidance to $2.05-$2.60, a major reset from earlier expectations and a key reason for the stock’s decline.
• Negative Sentiment: The company disclosed additional challenges and cost overruns in its renewables projects, raising concerns about margins and project execution. Article Title
• Negative Sentiment: COO Jeremy Kinch abruptly departed, adding to uncertainty around operations and near-term leadership stability. Article Title
• Negative Sentiment: Multiple law firms launched securities-fraud investigations and shareholder alerts, which can further weigh on sentiment and amplify volatility.

Primoris Services Company Profile

Primoris Services Corporation, a specialty contractor company, provides a range of construction, fabrication, maintenance, replacement, and engineering services in the United States and Canada. It operates through three segments: Utilities, Energy/Renewables, and Pipeline Services. 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. The Energy/Renewables segment provides a range of services, including engineering, procurement, and construction, as well as retrofits, highway and bridge construction, demolition, site work, soil stabilization, mass excavation, flood control, upgrades, repairs, outages, and maintenance services to renewable energy and energy storage, renewable fuels, petroleum, refining, and petrochemical industries, as well as state departments of transportation.

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