If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Primoris Services (PRIM) . This company, which is in the Zacks Building Products - Heavy Construction industry, shows potential for another earnings beat.This construction contractor has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surpr ...

Company Performance - Primoris Services (PRIM) shares have increased by 14.3% over the past month and reached a new 52-week high of $90.89 [1] - The stock has gained 17.7% since the beginning of the year, outperforming the Zacks Construction sector's 5.6% and the Zacks Building Products - Heavy Construction industry's 22.8% [1] Earnings and Revenue - Primoris Services has consistently beaten earnings estimates, with an EPS of $0.98 reported on May 5, 2025, compared to a consensus estimate of $0.72, and a revenue beat of 9.89% [2] - For the current fiscal year, earnings are expected to be $4.48 per share on revenues of $6.77 billion, reflecting a 15.76% increase in EPS and a 6.37% increase in revenues [3] - For the next fiscal year, the company is projected to earn $5.11 per share on revenues of $7.25 billion, indicating a year-over-year change of 14.06% in EPS and 7.01% in revenues [3] Valuation Metrics - Primoris Services has a Value Score of B, a Growth Score of A, and a Momentum Score of D, resulting in a combined VGM Score of A [6] - The stock trades at 20.1X current fiscal year EPS estimates, below the peer industry average of 24.5X, and at 16.3X trailing cash flow compared to the peer group's average of 14.2X [7] - The PEG ratio stands at 1.55, which does not place the company among the top value stocks [7] Zacks Rank - Primoris Services holds a Zacks Rank of 1 (Strong Buy) due to favorable earnings estimate revisions from analysts [8] - The company meets the criteria for investors looking for stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, suggesting potential for further gains [9] Industry Comparison - The Building Products - Heavy Construction industry is in the top 3% of all industries, indicating strong tailwinds for both Primoris Services and its peer, MasTec, Inc. [12] - MasTec, Inc. has a Zacks Rank of 1 and is expected to post earnings of $6.07 per share on revenues of $13.66 billion for the current fiscal year [10][11]

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Primoris Services is currently sporting a Zacks Rank of #1 (Strong Buy). Investors interested in Construction stocks should always be looking to find the best-performing companies in the group. Primoris Services (PRIM) is a stock that can certainl ...

Market Overview - Wall Street reached record-high levels despite a turbulent first half of 2025, with the second quarter being the best for U.S. stocks in the past year due to expectations of key trade deals and reduced recession fears [1] - The Federal Reserve indicated two more cuts in the benchmark lending rate for the second half of the year, contributing to a continued bull run in July, with the S&P 500 and Nasdaq Composite hitting all-time highs [2] Stock Performance - A selection of stocks has shown significant price strength, particularly those on a recent bull run, indicating potential for continued momentum [3] - Notable stocks include RF Industries Ltd. (RFIL), Legacy Education Inc. (LGCY), Primoris Services Corp. (PRIM), Allot Ltd. (ALLT), and Euroseas Ltd. (ESEA) [3] Stock Screening Criteria - Stocks must show a percentage change in price greater than zero over the last four weeks and greater than 10% over the last 12 weeks to indicate sustained momentum [5] - Stocks should have a Zacks Rank of 1 (Strong Buy) and an average broker rating of 1, indicating strong future performance expectations [6] - Stocks must be trading at a minimum price of $5 and be within 85% of their 52-week high to ensure they are strong performers [7] Individual Stock Highlights - **RF Industries Ltd. (RFIL)**: Stock surged 74% in four weeks, with expected earnings growth over 100% for the current fiscal year [8][10] - **Legacy Education Inc. (LGCY)**: Stock price increased by 29.6% in four weeks, with an expected earnings growth rate of 0.8% [12] - **Primoris Services Corp. (PRIM)**: Stock climbed 23.4% in four weeks, with an expected earnings growth rate of 15.8% [14] - **Allot Ltd. (ALLT)**: Stock surged 19.8% in four weeks, with expected earnings growth over 100% [17] - **Euroseas Ltd. (ESEA)**: Stock advanced 12.6% in four weeks, with an expected earnings growth rate of 1.2% [19]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Primoris Services (PRIM) - Primoris Services currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 2 (Buy), suggesting it is positioned for potential outperformance in the market [3] Performance Metrics - Over the past week, PRIM shares increased by 8.18%, outperforming the Zacks Building Products - Heavy Construction industry, which rose by 4.72% [5] - In a longer timeframe, PRIM's shares have risen by 39.98% over the last three months and 67.21% over the past year, compared to the S&P 500's gains of 10.24% and 14.41%, respectively [6] Trading Volume - The average 20-day trading volume for PRIM is 805,363 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for PRIM have been revised upwards, increasing the consensus estimate from $4.33 to $4.48 [9] - For the next fiscal year, two estimates have also moved higher, with no downward revisions noted [9] Conclusion - Given the strong performance metrics and positive earnings outlook, PRIM is identified as a promising momentum pick with a Momentum Score of A and a Zacks Rank of 2 (Buy) [11]

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point, as stocks may lose momentum when their valuations exceed future growth potential [2] - Investing in bargain stocks that exhibit recent price momentum can be a safer strategy, utilizing tools like the Zacks Momentum Style Score to identify potential opportunities [3] Group 2: Primoris Services (PRIM) Analysis - Primoris Services (PRIM) has shown a four-week price change of 8.3%, indicating growing investor interest [4] - Over the past 12 weeks, PRIM's stock has gained 48.1%, with a beta of 1.37, suggesting it moves 37% more than the market [5] - PRIM has a Momentum Score of A, indicating a favorable time to invest based on momentum [6] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investors [7] - PRIM is trading at a Price-to-Sales ratio of 0.65, suggesting it is undervalued at 65 cents for each dollar of sales [7] Group 3: Additional Investment Opportunities - Besides PRIM, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies to help identify potential winning stocks based on various investing styles [9]

Group 1 - Primoris Services (PRIM) is currently outperforming the Construction sector with a year-to-date return of approximately 4.8%, while the sector has returned an average of -0.6% [4] - The Zacks Consensus Estimate for PRIM's full-year earnings has increased by 3.3% over the past 90 days, indicating improving analyst sentiment and a positive earnings outlook [4] - Primoris Services holds a Zacks Rank of 2 (Buy), suggesting it has characteristics that may lead to outperformance in the market over the next one to three months [3] Group 2 - Primoris Services is part of the Building Products - Heavy Construction industry, which ranks 3 in the Zacks Industry Rank, with an average gain of 14.6% year-to-date [6] - In comparison, another stock in the Construction sector, Persimmon Plc (PSMMY), has a year-to-date return of 25% and also holds a Zacks Rank of 2 (Buy) [5] - The Building Products - Home Builders industry, to which Persimmon Plc belongs, is currently ranked 231 and has moved -12.6% year-to-date [7]

Summary of Primoris Services (PRIM) Conference Call Company Overview - **Company**: Primoris Services Corporation (PRIM) - **Date of Conference**: June 24, 2025 - **Speakers**: David King (Interim CEO and Chairman), Ken Doshen (CFO) Key Points Industry Context - **Renewable Energy Sector**: Primoris is actively involved in the renewable energy sector, particularly in battery energy storage and project management for renewable projects [3][4][11] - **Power Delivery**: The company also operates in the power delivery sector, which includes transmission, distribution, and power generation [28][30] Financial Performance and Expectations - **Backlog**: Primoris is tracking a backlog of $20 billion to $30 billion in projects from now until 2028, indicating strong future demand [5][6] - **Bookings**: The company expects bookings in the first half of 2025 to be lighter but has seen better-than-expected performance in Q1 2025, beating expectations by $300 million [16][18] - **Battery Storage**: The battery storage segment is less than 5% of the overall business, valued at over $2 billion, and is not expected to significantly impact overall performance [26][24] Project Management and Client Relationships - **Project Resequencing**: Primoris is adapting to project resequencing due to customer requests for clarity on pricing, particularly in battery energy storage [4][7][8] - **Client Engagement**: The company emphasizes strong relationships with clients, allowing for flexibility in project management and scheduling [14][15] Growth Strategy - **Natural Gas Power Generation**: The demand for natural gas generation projects has quadrupled, with a backlog at its highest in 10-15 years, indicating a shift back to gas generation due to increased power consumption [44][46] - **Power Delivery Expansion**: Primoris aims to grow its power delivery business, focusing on larger projects while maintaining a disciplined approach to risk management [35][36] Mergers and Acquisitions - **Acquisition Strategy**: The company is looking for quality acquisition opportunities, particularly in Power Delivery and Communications, with a focus on organic growth [60][62] Leadership Transition - **CEO Search**: The search for a new CEO is ongoing, with a focus on finding a candidate with the right strategic vision for the company [56][58] Market Dynamics - **Tariffs Impact**: There has been no immediate impact from tariffs on bookings or projects, as existing projects had pre-purchased materials [22][23] - **Labor Market**: The company is focusing on training and developing labor resources to meet growing demand in the industry [39][40] Additional Insights - **Operational Efficiency**: Primoris has developed methods to execute projects efficiently, which has helped in building long-term relationships with clients [12][13] - **Market Position**: The company is positioned well to capitalize on the growing demand for power delivery and renewable energy projects, with a focus on maintaining a balanced project portfolio [30][31]

Company Overview - Primoris Services Corporation (NYSE: PRIM) provides essential infrastructure services including construction, maintenance, and engineering for utility and energy sectors in the United States and Canada [1] - The company has a current market capitalization of approximately $4 billion [1] Analyst Background - The analyst has over 10 years of experience in the investment arena, starting as an analyst and advancing to a management role [1] - The analyst holds a master's degree in Analytics from Northwestern University and a bachelor's degree in Accounting [1] Investment Interest - The analyst expresses a personal interest in dividend investing and plans to share insights with the Seeking Alpha community [1]

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Whil ...