Zacks Investment Research Lowers Construction Partners (NASDAQ:ROAD) to Sell

Construction Partners (NASDAQ:ROAD) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday, Zacks.com reports.

According to Zacks, “Construction Partners Inc. is an infrastructure and road construction company. It provides construction products and services to public and private sectors. The company’s services include construction of highways, roads, bridges, airports and commercial and residential sites. Construction Partners Inc. is based in Alabama, United States. “

A number of other equities research analysts have also recently issued reports on ROAD. Bank of America reduced their price objective on Construction Partners from $20.00 to $17.00 and set a “buy” rating for the company in a report on Friday, May 15th. BidaskClub downgraded shares of Construction Partners from a “hold” rating to a “sell” rating in a research report on Thursday, June 25th. ValuEngine upgraded shares of Construction Partners from a “sell” rating to a “hold” rating in a research report on Monday, March 16th. DA Davidson downgraded shares of Construction Partners from a “buy” rating to a “neutral” rating and dropped their price target for the company from $20.00 to $18.00 in a research report on Thursday, April 9th. Finally, Imperial Capital dropped their price target on shares of Construction Partners from $20.00 to $16.00 and set an “outperform” rating for the company in a research report on Wednesday, May 13th. Two research analysts have rated the stock with a sell rating, two have given a hold rating and four have assigned a buy rating to the company’s stock. The company presently has a consensus rating of “Hold” and an average price target of $18.17.

Shares of NASDAQ:ROAD opened at $17.52 on Tuesday. Construction Partners has a 12-month low of $11.96 and a 12-month high of $20.92. The stock has a market cap of $884.42 million, a PE ratio of 22.18, a P/E/G ratio of 4.34 and a beta of 0.97. The business has a 50 day moving average of $17.05 and a 200-day moving average of $16.87. The company has a quick ratio of 1.79, a current ratio of 2.15 and a debt-to-equity ratio of 0.16.

Construction Partners (NASDAQ:ROAD) last issued its quarterly earnings data on Friday, May 8th. The company reported $0.03 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.06 by ($0.03). Construction Partners had a return on equity of 11.90% and a net margin of 5.04%. The firm had revenue of $168.68 million for the quarter, compared to the consensus estimate of $166.41 million. During the same quarter in the prior year, the firm earned $0.08 EPS. The company’s revenue was up 2.7% on a year-over-year basis. Equities research analysts expect that Construction Partners will post 0.66 earnings per share for the current year.

In other Construction Partners news, CFO Royce Alan Palmer sold 6,318 shares of the business’s stock in a transaction that occurred on Wednesday, April 29th. The shares were sold at an average price of $18.64, for a total transaction of $117,767.52. Following the completion of the transaction, the chief financial officer now directly owns 95,500 shares in the company, valued at $1,780,120. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Suntx Capital Management Corp. sold 862,500 shares of the business’s stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $16.00, for a total transaction of $13,800,000.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 6,632,980 shares of company stock valued at $106,166,311. Company insiders own 63.94% of the company’s stock.

Several large investors have recently made changes to their positions in the company. SunTx Capital Management Corp. bought a new stake in Construction Partners during the fourth quarter valued at $227,323,000. Conestoga Capital Advisors LLC boosted its position in shares of Construction Partners by 69.5% during the 1st quarter. Conestoga Capital Advisors LLC now owns 3,627,622 shares of the company’s stock worth $61,271,000 after purchasing an additional 1,487,219 shares in the last quarter. BlackRock Inc. boosted its position in shares of Construction Partners by 5.0% during the 1st quarter. BlackRock Inc. now owns 1,566,228 shares of the company’s stock worth $26,454,000 after purchasing an additional 74,224 shares in the last quarter. Wasatch Advisors Inc. boosted its position in shares of Construction Partners by 30.6% during the 1st quarter. Wasatch Advisors Inc. now owns 1,411,503 shares of the company’s stock worth $23,840,000 after purchasing an additional 330,759 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA boosted its position in shares of Construction Partners by 1.2% during the 1st quarter. Massachusetts Financial Services Co. MA now owns 1,332,271 shares of the company’s stock worth $22,502,000 after purchasing an additional 15,592 shares in the last quarter. Institutional investors own 68.67% of the company’s stock.

Construction Partners Company Profile

Construction Partners, Inc, an infrastructure and road construction company, provides construction products and services to public and private sectors. It offers construction of highways, roads, bridges, airports, and commercial and residential sites. The company provides a range of sitework construction services, including site development, paving, and utility and drainage systems construction, as well as supplies hot mix asphalt required for the projects.

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