Primoris Services Corporation

Primoris Services Corporation provides specialty construction services in US and Canada. The company operates through Utilities and Energy/Renewables segments. The Utilities segment offers installation and maintenance services for gas, electric, and communications systems. The Energy/Renewables segment provides engineering, procurement, and construction services to energy industries. The segment also offers retrofits, highway construction, demolition, and maintenance services. Primoris was founded in 1960 and is headquartered in Dallas, Texas.

Overview

Sector

Engineering

Target Price

62.6 USD

Current Price

74.3 USD

Potential

-16%

Strengths

Price to book ratio (2.83) is lower than the sector mean (8.62).
The company has high returns. ROIC (23.70%) is higher than the sector mean (13.45%).
EV/EBITDA (10.27) is lower than the sector mean (26.84).
EV/EBIT (13.33) is lower than the sector mean.
Price to free cash flow (10.45) is lower than the sector mean.

Weaknesses

With a depreciation Potential of -15.66%, based on our fundamental analysis, it suggests the stock may be overvalued.
EBITDA Margin (6.53%) appears relatively low.

Key Financial Data

Indicator	Value
PER	22.1
EV/EBITDA	10.3
Price/Free Cash Flow'	10.5
ROIC	23.7%
Net Debt/EBITDA	0.7