Centuri (NYSE:CTRI) Issues Quarterly Earnings Results

Centuri (NYSE:CTRI) issued its quarterly earnings results on Thursday. The company reported $0.42 EPS for the quarter, topping the consensus estimate of $0.23 by $0.19, FiscalAI reports. Centuri had a return on equity of 5.85% and a net margin of 0.86%. The company had revenue of $1.19 billion for the quarter, compared to the consensus estimate of $1.04 billion. During the same period in the previous year, the business posted $0.19 EPS. The company’s revenue for the quarter was up 40.2% on a year-over-year basis.

Here are the key takeaways from Centuri’s conference call:

• Centuri reported record Q3 revenue of $1.2 billion, up 40% year over year, and record gross profit of $113 million. Gross margin rose to 9.5% from 7.2% in Q2, with management citing improved productivity from earlier capacity investments and initial benefits from repricing contracts.
• Demand and visibility strengthened, with a $19 billion opportunity pipeline, $4.8 billion in outstanding bids, and $6.2 billion of backlog. Management sees mid-teens revenue growth in 2027, to more than $4.4 billion, and targets gross margins of 8.5%–9% as it pursues higher-margin bid work and continued pricing improvements.
• Centuri raised its full-year 2026 outlook to revenue of $3.8–$3.9 billion, adjusted EBITDA of $290–$300 million, and adjusted net income of $80–$90 million. The outlook assumes no Q4 storm work; management said early-October storm work would be additive.
• Q3 free cash flow was negative $30 million, and the full-year expectation was reduced to $25–$50 million because revenue growth is driving higher working-capital needs. Management characterized the shortfall as timing-related and expects year-end net leverage in the low-2x range, down from 2.6x at quarter-end.
• Management said data centers remain a selective, limited opportunity: Centuri has booked about $370 million of work, with roughly $200 million remaining in backlog, and expects the segment to stay below 10% of annual revenue. It will pursue projects only when scope, funding, permitting, and execution plans are sufficiently clear.

Centuri Price Performance

NYSE CTRI traded up $1.64 on Friday, hitting $20.29. 2,988,507 shares of the company were exchanged, compared to its average volume of 2,240,270. Centuri has a 1-year low of $18.50 and a 1-year high of $42.99. The firm has a 50 day moving average of $20.31 and a two-hundred day moving average of $27.10. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.81. The company has a market cap of $2.05 billion, a P/E ratio of 36.23, a P/E/G ratio of 0.70 and a beta of 0.94.

Insiders Place Their Bets

In related news, Director Dustin DeMaria bought 5,200 shares of the company’s stock in a transaction on Friday, September 18th. The stock was bought at an average cost of $19.27 per share, with a total value of $100,204.00. Following the completion of the purchase, the director owned 12,936 shares in the company, valued at approximately $249,276.72. The trade was a 67.22% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders own 0.33% of the company’s stock.

Key Stories Impacting Centuri

Here are the key news stories impacting Centuri this week:

• Positive Sentiment: Centuri reported third-quarter EPS of $0.42, above analysts’ estimates of $0.23, and revenue of $1.19 billion versus expectations of $1.04 billion. Revenue rose 40.2% year over year, and EPS more than doubled from $0.19 a year earlier. Article: Centuri Holdings Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: The company’s FY 2026 revenue guidance of $3.8 billion–$3.9 billion is above the $3.7 billion consensus estimate. Centuri also outlined 2027 revenue above $4.4 billion and a target gross margin of 8.5%–9%, signaling continued growth potential. Article: Centuri Outlines 2027 Revenue and Gross-Margin Targets
• Neutral Sentiment: Wells Fargo lowered its price target from $28 to $24 but maintained an “overweight” rating. The new target still implies 18.3% upside from the cited share price, though the reduction suggests a more cautious valuation view.

Analyst Ratings Changes

CTRI has been the topic of a number of recent analyst reports. Wells Fargo & Company reduced their price target on shares of Centuri from $28.00 to $24.00 and set an “overweight” rating on the stock in a research report on Friday. Robert W. Baird dropped their price objective on shares of Centuri from $33.00 to $26.00 and set an “outperform” rating for the company in a report on Tuesday, September 29th. Bank of America cut their target price on shares of Centuri from $33.50 to $21.00 and set an “underperform” rating for the company in a research note on Friday, September 4th. JPMorgan Chase & Co. reduced their target price on Centuri from $23.00 to $22.00 and set an “underweight” rating on the stock in a report on Monday, October 19th. Finally, Wall Street Zen lowered Centuri from a “buy” rating to a “hold” rating in a research report on Monday, July 20th. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $27.50.

About Centuri

Centuri Holdings, Inc is a strategic infrastructure services company that supports the development, maintenance and modernization of energy and utility systems. The company provides construction and related services for natural gas and electric distribution infrastructure, including pipelines, utility networks and other assets used to deliver energy to homes, businesses and communities.

Centuri also serves customers in areas such as electric transmission, renewable energy and broader utility infrastructure.