Emcor Group (EME) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.Shares of this construction and maintenance company have returned -9.3% over the past month versus the Zacks S&P 500 composite's +0.2% change. The Zacks Building Products - Heavy Construction industry, to which Emcor Group belongs, has lost 6.1% over this period. Now the key question is: Where could ...

Core Insights - Return on equity (ROE) is a key profitability metric favored by investors, measuring earnings generated from equity [1] - Advanced analysis of ROE through DuPont analysis can provide deeper insights into a company's financial condition by breaking down ROE into profit margin, asset turnover ratio, and equity multiplier [2][3] DuPont Analysis - DuPont analysis allows investors to assess the components affecting ROE, helping to differentiate between companies with high margins and those with high turnover [3] - It also highlights a company's leverage status, indicating that a high ROE could be misleading if it results from excessive debt [4] Screening Parameters - Screening criteria for potential investments include: - Profit margin of 3% or higher, indicating profitable business operations [6] - Asset turnover ratio of 2 or higher, reflecting management efficiency in asset utilization [6] - Equity multiplier between 1 and 3, showing the extent of debt used to finance assets [6] - Zacks Rank of 1 (Strong Buy) or 2 (Buy), suggesting better performance compared to peers [7] - Current price above $5 to filter out low-priced stocks [7] Selected Stocks - EverQuote (Zacks Rank 2) operates an online marketplace for various insurance products, with an average earnings surprise of 149.58% over the past four quarters [8][10] - EMCOR Group (Zacks Rank 1) is a leading provider of mechanical and electrical construction services, with an average earnings surprise of 32.26% [10] - Sprouts Farmers Market (Zacks Rank 1) operates in the grocery store industry with a focus on fresh produce and wellness, achieving an average earnings surprise of 15.29% [11]

Industry Overview - The infrastructure sector in the United States is set for significant expansion, driven by a $1.2 trillion bipartisan infrastructure bill, which aims to modernize roads, bridges, railways, energy networks, and digital infrastructure, creating 1.5 million jobs annually over the next seven years [1] - Government-backed initiatives like the Infrastructure Investment and Jobs Act and the Inflation Reduction Act are enhancing investments in renewable energy, data centers, and advanced manufacturing projects, making infrastructure stocks attractive for long-term investors [3][4] Economic Factors - Recent Federal Reserve rate cuts are expected to lower borrowing costs for public and private projects, accelerating construction activity and potentially reviving residential construction due to declining mortgage rates [2] Company Highlights - **Sterling Infrastructure, Inc. (STRL)**: A premier service provider in transportation and civil construction, benefiting from increased government spending. The E-Infrastructure Solutions segment has become a primary revenue generator, significantly boosting operating margins. STRL has gained 129.4% in the past year, with a 2025 EPS estimate of $6.45, reflecting an 8.1% growth [5][9][8] - **EMCOR Group, Inc. (EME)**: Provides electrical and mechanical construction services, integral to large-scale energy and manufacturing projects. EME has seen strong project growth, with record Remaining Performance Obligations (RPOs) of $9.8 billion, reflecting a 13.3% year-over-year growth. The 2025 EPS estimate is $22.24, with expected earnings growth of 7.2% [10][11][12] - **GE Vernova Inc. (GEV)**: Focused on renewable energy infrastructure, particularly wind power and grid solutions. GEV targets approximately $45 billion in revenues and a 14% adjusted EBITDA margin by 2028, with a projected 194.3% growth in earnings for 2025 [13][14][15]

Emcor Group (EME) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.Over the past month, shares of this construction and maintenance company have returned -3.6%, compared to the Zacks S&P 500 composite's +1.3% change. During this period, the Zacks Building Products - Heavy Construction industry, which Emcor Group falls in, has lost 4.4%. The key question now is: What ...

The U.S. construction industry demonstrated resilience in 2024, with the Zacks Construction sector gaining 25.2%, nearly matching the Zacks S&P 500 Composite’s 27.4% rise. Robust fundamentals propelled this growth, with construction spending surpassing $2 trillion. By October 2024, spending totaled $1,814.8 billion, a 7.2% increase over the same period in 2023.Construction Sector's YTD PerformanceImage Source: Zacks Investment ResearchEmployment in the construction sector also reached new heights, with 8.3 ...

The rumors that Blackwell could be built in the U.S. are exactly why this company is set to be a winner for years to come.In this video, Motley Fool contributors Jason Hall and Tyler Crowe break down why EMCOR Group (EME -0.89%) is a likely long-term winner from the growth in advanced manufacturing and data centers in North America, whether Nvidia (NVDA -2.69%) and Taiwan Semiconductor (TSM -3.63%) fail to keep delivering winning results or not.*Stock prices used were from the afternoon of Dec. 4, 2024. The ...

EMCOR Group, Inc. (EME) , a leading provider of electrical and mechanical construction, industrial, and energy infrastructure services, has captured investors’ attention with an impressive 29.8% surge in its stock price over the past three months. This performance outpaced the Zacks Building Products - Heavy Construction industry’s 25.9% gain, the broader Construction sector’s 7.5% rise, and the S&P 500’s 6.9% rally during the same period. EME stock currently holds a Momentum Score of B and a Growth Score o ...

Core Viewpoint - Emcor Group (EME) has shown strong stock performance recently, with a notable increase in earnings estimates, indicating potential for continued growth in the near term [1][2][7]. Earnings Performance - Emcor Group is expected to report earnings of $5.54 per share for the current quarter, reflecting a year-over-year increase of +23.9% [5]. - The consensus earnings estimate for the current fiscal year is $20.74, indicating a significant change of +55.5% from the previous year [5]. - For the next fiscal year, the consensus estimate is $22.24, showing a year-over-year change of +7.2% [6]. Revenue Growth - The consensus sales estimate for the current quarter is $3.84 billion, representing a year-over-year increase of +11.7% [9]. - For the current fiscal year, the revenue estimate is $14.67 billion, indicating a growth of +16.6% [9]. - The next fiscal year's revenue estimate is $15.64 billion, reflecting a change of +6.6% [9]. Recent Results and Surprises - In the last reported quarter, Emcor Group achieved revenues of $3.7 billion, a year-over-year increase of +15.3% [10]. - The reported EPS was $5.80, compared to $3.61 a year ago, with a surprise of +16.23% against the consensus estimate [11]. - The company has consistently beaten consensus EPS estimates in the last four quarters and topped revenue estimates three times [11]. Valuation Metrics - Emcor Group has a Zacks Value Style Score of D, indicating it is trading at a premium compared to its peers [15]. - Valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) are essential for assessing whether the stock is overvalued or undervalued [13][14]. Conclusion - The strong earnings estimate revisions and the Zacks Rank 1 suggest that Emcor Group may outperform the broader market in the near term [16].

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.Zacks Premium includes access to the Zacks Style Scores as well. What are the Zacks Style Scores? D ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Emcor Group (EME) .Emcor Group currently has an average brokerage ...