Bedrijfsoverzicht
Primoris Services Corporation operates as a provider of infrastructure services, executing projects primarily within the United States and Canada across its Utilities and Energy segments, which focus on the installation and maintenance of natural gas and electric utility distribution and transmission systems. The company is categorized within the Industrials sector, specifically the Engineering & Construction industry, a classification that reflects its role in capital-intensive projects requiring specialized technical expertise to manage large-scale public and private infrastructure. This entity demonstrates significant scale with a market capitalization of $8.74B and an annual revenue (TTM) of $7.57B, supported by a workforce of 18,526 employees. These valuation and revenue figures indicate that Primoris Services Corporation holds a substantial position within the industrial services landscape, suggesting a robust operational footprint and the capacity to serve a wide array of clients in the energy and utility distribution sectors.
Financiële gezondheid
The company reported a trailing twelve-month revenue of $7.57B, generating net income of $274.90M and an EBITDA of $505.80M, a disparity that reveals a cost structure where operating expenses and taxes consume approximately 96.3% of revenue before reaching the bottom line. The firm maintains a free cash flow of $291.64M, which signifies a degree of financial flexibility allowing for potential capital expenditures, debt servicing, or share repurchases without immediate reliance on external financing. Profitability analysis shows a gross margin of 10.7%, an operating margin of 4.2%, and a profit margin of 3.6%, indicating that the business model relies on volume and efficiency rather than high markups, as the operating margin is compressed relative to the gross margin due to significant overheads. On the balance sheet, cash stands at $535.50M while total debt reaches $950.90M, resulting in a debt-to-equity ratio of 56.57, which characterizes the capital structure as moderately leveraged rather than strictly conservative. Liquidity is supported by a current ratio of 1.26, indicating that the company holds sufficient current assets to cover its short-term obligations with a modest buffer. Management effectiveness is highlighted by a Return on Equity of 17.8% and a Return on Assets of 6.0%, demonstrating the ability to generate returns that exceed the cost of equity while utilizing the asset base efficiently.
Waarderingsbeoordeling
The stock carries a trailing P/E ratio (TTM) of 32.04 and a forward P/E of 24.03, implying that the market expects earnings to improve significantly in the coming year to justify the lower forward multiple compared to the historical trailing figure. The price-to-book ratio is recorded at 5.18, suggesting that the market values the company at a substantial premium over its net asset value, reflecting intangible assets, brand strength, or future growth prospects not captured on the balance sheet. Alternative valuation metrics include a price-to-sales ratio of 1.15 and an EV/EBITDA of 18.04, which provide context by showing the company trades at a premium relative to revenue and enterprise value normalized by earnings before interest, taxes, depreciation, and amortization. The stock has traded between a 52-week low of $53.13 and a 52-week high of $174.43, and without the current specific share price to calculate the exact percentage distance, the range itself illustrates the volatility experienced over the past year. The beta value of 1.39 indicates that the stock's price volatility is 39% higher than the broader market, making it a more sensitive instrument to market fluctuations compared to a beta-neutral index.
Growth & Income
Recent performance metrics show a revenue growth (YoY) of 6.7% alongside an earnings growth (YoY) of -2.9%, indicating that earnings are currently growing slower than revenue, which may suggest one-time costs, margin compression, or a lag in translating top-line expansion into bottom-line profit. Regarding income, the company offers a dividend yield of 0.2% with a payout ratio of 6.4%, a low payout ratio that suggests the company retains the vast majority of its earnings for reinvestment into operations and growth rather than distributing them to shareholders. Given the modest yield and low payout, the firm prioritizes retaining earnings to fuel expansion in its utilities and energy segments rather than committing to high dividend payments. The overall growth and income profile is characterized by steady top-line expansion in the double-digits range historically, currently tempered by a contraction in earnings growth, while income generation remains minimal as the company focuses on capital allocation for operational scaling.