Construction Partners (NASDAQ:ROAD) Shares Gap Up – Time to Buy?

Construction Partners, Inc. (NASDAQ:ROAD) shares gapped up prior to trading on Friday . The stock had previously closed at $102.41, but opened at $105.76. Construction Partners shares last traded at $107.2560, with a volume of 577,150 shares changing hands.

Wall Street Analyst Weigh In

ROAD has been the topic of a number of recent analyst reports. Weiss Ratings downgraded shares of Construction Partners from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, May 26th. Robert W. Baird decreased their price objective on shares of Construction Partners from $169.00 to $145.00 and set an “outperform” rating for the company in a report on Wednesday, July 1st. B. Riley Financial upgraded shares of Construction Partners from a “neutral” rating to a “buy” rating and raised their price objective for the company from $117.00 to $135.00 in a research note on Thursday, April 2nd. Raymond James Financial dropped their target price on Construction Partners from $161.00 to $150.00 and set a “strong-buy” rating on the stock in a report on Wednesday. Finally, Zacks Research raised Construction Partners from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 7th. Two research analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, Construction Partners has an average rating of “Moderate Buy” and an average price target of $134.17.

Construction Partners Price Performance

The company’s 50 day moving average price is $114.25 and its 200-day moving average price is $117.41. The company has a market cap of $6.01 billion, a price-to-earnings ratio of 46.67, a PEG ratio of 0.87 and a beta of 0.88. The company has a debt-to-equity ratio of 1.75, a quick ratio of 1.21 and a current ratio of 1.53.

Construction Partners (NASDAQ:ROAD) last released its earnings results on Friday, May 8th. The company reported $0.18 EPS for the quarter, beating the consensus estimate of ($0.05) by $0.23. The business had revenue of $769.20 million during the quarter, compared to analyst estimates of $678.46 million. Construction Partners had a net margin of 3.90% and a return on equity of 15.22%. The business’s quarterly revenue was up 34.6% on a year-over-year basis. During the same period in the prior year, the business earned $0.08 earnings per share. On average, equities research analysts forecast that Construction Partners, Inc. will post 2.95 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Construction Partners

A number of hedge funds have recently modified their holdings of ROAD. AQR Capital Management LLC lifted its holdings in shares of Construction Partners by 14.4% during the first quarter. AQR Capital Management LLC now owns 10,333 shares of the company’s stock valued at $743,000 after purchasing an additional 1,302 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Construction Partners by 11.2% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 96,191 shares of the company’s stock worth $6,913,000 after purchasing an additional 9,656 shares in the last quarter. Intech Investment Management LLC increased its stake in Construction Partners by 11.4% in the 1st quarter. Intech Investment Management LLC now owns 24,292 shares of the company’s stock worth $1,746,000 after purchasing an additional 2,482 shares in the last quarter. Strs Ohio acquired a new stake in Construction Partners during the 1st quarter worth about $165,000. Finally, Hsbc Holdings PLC acquired a new stake in Construction Partners during the 2nd quarter worth about $552,000. 94.83% of the stock is currently owned by institutional investors and hedge funds.

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.