Construction Partners (NASDAQ:ROAD) Shares Down 5.2% – Should You Sell?

Construction Partners, Inc. (NASDAQ:ROAD)’s share price traded down 5.2% during trading on Thursday . The stock traded as low as $105.85 and last traded at $107.0120. 620,224 shares were traded during trading, an increase of 12% from the average session volume of 555,509 shares. The stock had previously closed at $112.90.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on ROAD. B. Riley Financial upgraded shares of Construction Partners from a “neutral” rating to a “buy” rating and lifted their price target for the stock from $117.00 to $135.00 in a research note on Thursday. Robert W. Baird set a $142.00 price objective on shares of Construction Partners in a report on Friday, February 6th. Weiss Ratings restated a “hold (c+)” rating on shares of Construction Partners in a research note on Monday, December 29th. Zacks Research upgraded Construction Partners from a “strong sell” rating to a “strong-buy” rating in a research note on Thursday, January 29th. Finally, DA Davidson boosted their price objective on Construction Partners from $120.00 to $130.00 and gave the company a “neutral” rating in a report on Friday, February 6th. Two equities research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus target price of $131.40.

Construction Partners Price Performance

The company has a debt-to-equity ratio of 1.76, a quick ratio of 1.26 and a current ratio of 1.59. The company’s fifty day moving average price is $121.46 and its 200 day moving average price is $116.96. The firm has a market capitalization of $5.98 billion, a price-to-earnings ratio of 48.13, a price-to-earnings-growth ratio of 0.93 and a beta of 0.92.

Construction Partners (NASDAQ:ROAD) last released its quarterly earnings data on Thursday, February 5th. The company reported $0.47 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.31 by $0.16. Construction Partners had a return on equity of 15.26% and a net margin of 3.99%.The business had revenue of $809.47 million during the quarter, compared to analyst estimates of $740.14 million. During the same quarter in the previous year, the firm posted $0.25 EPS. The business’s revenue for the quarter was up 44.1% compared to the same quarter last year. Equities research analysts expect that Construction Partners, Inc. will post 1.96 earnings per share for the current year.

Institutional Investors Weigh In On Construction Partners

Institutional investors and hedge funds have recently modified their holdings of the stock. Capital World Investors raised its position in shares of Construction Partners by 97.5% during the fourth quarter. Capital World Investors now owns 856,696 shares of the company’s stock worth $92,994,000 after purchasing an additional 423,033 shares during the period. Vaughan Nelson Investment Management L.P. acquired a new stake in Construction Partners during the 4th quarter worth about $42,518,000. Invesco Ltd. raised its holdings in Construction Partners by 23.7% during the 4th quarter. Invesco Ltd. now owns 1,481,914 shares of the company’s stock worth $160,862,000 after buying an additional 284,082 shares during the period. First Trust Advisors LP lifted its stake in Construction Partners by 33.2% during the third quarter. First Trust Advisors LP now owns 1,059,566 shares of the company’s stock valued at $134,565,000 after buying an additional 264,069 shares in the last quarter. Finally, Goldman Sachs Group Inc. boosted its holdings in shares of Construction Partners by 176.9% in the fourth quarter. Goldman Sachs Group Inc. now owns 361,837 shares of the company’s stock worth $39,277,000 after buying an additional 231,160 shares during the period. Institutional investors and hedge funds own 94.83% of the company’s stock.

About Construction Partners

Construction Partners, Inc (NASDAQ: ROAD) is a specialty contractor and infrastructure solutions provider focused on road building, paving, site development and aggregate production. The company delivers a comprehensive suite of civil construction services, including roadway paving and milling, site grading and preparation, stormwater and utility installation, and full-scale asphalt plant operations. By integrating materials production with contracting capabilities, the firm aims to streamline project delivery and maintain quality control across its contracting and materials businesses.

At the heart of Construction Partners’ operations are its network of asphalt plants, quarries and aggregate production facilities.