EMCOR GROUP INC (EME) Stock Fundamental Analysis
NYSE:EME • US29084Q1004
724.62 USD
-21.56 (-2.89%)
At close: Feb 27, 2026
716 USD
-8.62 (-1.19%)
After Hours: 2/27/2026, 8:04:00 PM
Taking everything into account, EME scores 6 out of 10 in our fundamental rating. EME was compared to 55 industry peers in the Construction & Engineering industry. EME gets an excellent profitability rating and is at the same time showing great financial health properties. EME has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year EME was profitable.
- In the past year EME had a positive cash flow from operations.
- Of the past 5 years EME 4 years were profitable.
- EME had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- EME has a better Return On Assets (13.08%) than 87.27% of its industry peers.
- Looking at the Return On Equity, with a value of 33.89%, EME belongs to the top of the industry, outperforming 85.45% of the companies in the same industry.
- EME has a better Return On Invested Capital (27.41%) than 89.09% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for EME is above the industry average of 17.02%.
- The 3 year average ROIC (21.01%) for EME is below the current ROIC(27.41%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.08% | ||
| ROE | 33.89% | ||
| ROIC | 27.41% |
ROA(3y)9.99%
ROA(5y)7.93%
ROE(3y)26.83%
ROE(5y)20.8%
ROIC(3y)21.01%
ROIC(5y)17.59%
1.3 Margins
- With a decent Profit Margin value of 6.96%, EME is doing good in the industry, outperforming 70.91% of the companies in the same industry.
- EME's Profit Margin has improved in the last couple of years.
- EME has a better Operating Margin (9.41%) than 65.45% of its industry peers.
- EME's Operating Margin has improved in the last couple of years.
- EME has a Gross Margin (19.39%) which is comparable to the rest of the industry.
- EME's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.41% | ||
| PM (TTM) | 6.96% | ||
| GM | 19.39% |
OM growth 3Y19.88%
OM growth 5Y12.87%
PM growth 3Y21.31%
PM growth 5Y14.3%
GM growth 3Y7.78%
GM growth 5Y5.13%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), EME is creating value.
- EME has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- EME has an Altman-Z score of 7.27. This indicates that EME is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 7.27, EME belongs to the best of the industry, outperforming 87.27% of the companies in the same industry.
- The Debt to FCF ratio of EME is 0.01, which is an excellent value as it means it would take EME, only 0.01 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.01, EME belongs to the top of the industry, outperforming 94.55% of the companies in the same industry.
- A Debt/Equity ratio of 0.00 indicates that EME is not too dependend on debt financing.
- EME has a better Debt to Equity ratio (0.00) than 92.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 7.27 |
ROIC/WACC2.99
WACC9.17%
2.3 Liquidity
- A Current Ratio of 1.19 indicates that EME should not have too much problems paying its short term obligations.
- EME has a worse Current ratio (1.19) than 60.00% of its industry peers.
- EME has a Quick Ratio of 1.17. This is a normal value and indicates that EME is financially healthy and should not expect problems in meeting its short term obligations.
- EME has a Quick ratio (1.17) which is in line with its industry peers.
- The current and quick ratio evaluation for EME is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 19.50% over the past year.
- EME shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 32.05% yearly.
EPS 1Y (TTM)19.5%
EPS 3Y46.6%
EPS 5Y32.05%
EPS Q2Q%13.77%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.71%
3.2 Future
- The Earnings Per Share is expected to grow by 9.77% on average over the next years. This is quite good.
- The Revenue is expected to grow by 8.40% on average over the next years. This is quite good.
EPS Next Y9.6%
EPS Next 2Y9.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.33%
Revenue Next 2Y6.41%
Revenue Next 3YN/A
Revenue Next 5Y8.4%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 28.15, the valuation of EME can be described as expensive.
- Based on the Price/Earnings ratio, EME is valued a bit cheaper than 69.09% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.10. EME is around the same levels.
- The Price/Forward Earnings ratio is 25.68, which means the current valuation is very expensive for EME.
- Based on the Price/Forward Earnings ratio, EME is valued a bit cheaper than 72.73% of the companies in the same industry.
- EME's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.06.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.15 | ||
| Fwd PE | 25.68 |
4.2 Price Multiples
- EME's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of EME indicates a somewhat cheap valuation: EME is cheaper than 74.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.24 | ||
| EV/EBITDA | 19.27 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- EME has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.93
PEG (5Y)0.88
EPS Next 2Y9.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- EME has a yearly dividend return of 0.21%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.13, EME pays a better dividend. On top of this EME pays more dividend than 83.64% of the companies listed in the same industry.
- With a Dividend Yield of 0.21, EME pays less dividend than the S&P500 average, which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
5.2 History
- On average, the dividend of EME grows each year by 23.83%, which is quite nice.
- EME has been paying a dividend for at least 10 years, so it has a reliable track record.
- EME has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)23.83%
Div Incr Years4
Div Non Decr Years11
5.3 Sustainability
- 4.01% of the earnings are spent on dividend by EME. This is a low number and sustainable payout ratio.
- The dividend of EME is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP4.01%
EPS Next 2Y9.77%
EPS Next 3YN/A
724.62
-21.56 (-2.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)04-28 2026-04-28
Inst Owners95.78%
Inst Owner Change4.43%
Ins Owners0.83%
Ins Owner Change0.57%
Market Cap32.44B
Revenue(TTM)N/A
Net Income(TTM)1.13B
Analysts81.43
Price Target731.49 (0.95%)
Short Float %1.89%
Short Ratio2.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
Yearly Dividend0.93
Dividend Growth(5Y)23.83%
DP4.01%
Div Incr Years4
Div Non Decr Years11
Ex-Date01-14 2026-01-14 (0.4)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.68%
Min EPS beat(2)-0.55%
Max EPS beat(2)15.92%
EPS beat(4)3
Avg EPS beat(4)9.16%
Min EPS beat(4)-0.55%
Max EPS beat(4)15.92%
EPS beat(8)7
Avg EPS beat(8)20.07%
EPS beat(12)11
Avg EPS beat(12)21.42%
EPS beat(16)13
Avg EPS beat(16)16.36%
Revenue beat(2)1
Avg Revenue beat(2)1.61%
Min Revenue beat(2)-0.5%
Max Revenue beat(2)3.72%
Revenue beat(4)2
Avg Revenue beat(4)0.62%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)3.72%
Revenue beat(8)5
Avg Revenue beat(8)1.17%
Revenue beat(12)8
Avg Revenue beat(12)0.93%
Revenue beat(16)12
Avg Revenue beat(16)1.46%
PT rev (1m)1.43%
PT rev (3m)1.43%
EPS NQ rev (1m)0.08%
EPS NQ rev (3m)0.08%
EPS NY rev (1m)0.04%
EPS NY rev (3m)0.13%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)-0.07%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.15 | ||
| Fwd PE | 25.68 | ||
| P/S | 2 | ||
| P/FCF | 28.24 | ||
| P/OCF | 26.01 | ||
| P/B | 9.73 | ||
| P/tB | 35.29 | ||
| EV/EBITDA | 19.27 |
EPS(TTM)25.74
EY3.55%
EPS(NY)28.21
Fwd EY3.89%
FCF(TTM)25.66
FCFY3.54%
OCF(TTM)27.86
OCFY3.84%
SpS362.82
BVpS74.5
TBVpS20.53
PEG (NY)2.93
PEG (5Y)0.88
Graham Number207.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.08% | ||
| ROE | 33.89% | ||
| ROCE | 37.63% | ||
| ROIC | 27.41% | ||
| ROICexc | 32.68% | ||
| ROICexgc | 112.5% | ||
| OM | 9.41% | ||
| PM (TTM) | 6.96% | ||
| GM | 19.39% | ||
| FCFM | 7.07% |
ROA(3y)9.99%
ROA(5y)7.93%
ROE(3y)26.83%
ROE(5y)20.8%
ROIC(3y)21.01%
ROIC(5y)17.59%
ROICexc(3y)29.88%
ROICexc(5y)24.94%
ROICexgc(3y)103.88%
ROICexgc(5y)84.98%
ROCE(3y)28.85%
ROCE(5y)24.15%
ROICexgc growth 3Y52.49%
ROICexgc growth 5Y34.99%
ROICexc growth 3Y37.05%
ROICexc growth 5Y27.08%
OM growth 3Y19.88%
OM growth 5Y12.87%
PM growth 3Y21.31%
PM growth 5Y14.3%
GM growth 3Y7.78%
GM growth 5Y5.13%
F-Score7
Asset Turnover1.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 57.38% | ||
| Cap/Sales | 0.61% | ||
| Interest Coverage | 137.17 | ||
| Cash Conversion | 73.36% | ||
| Profit Quality | 101.61% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 7.27 |
F-Score7
WACC9.17%
ROIC/WACC2.99
Cap/Depr(3y)55.78%
Cap/Depr(5y)48.91%
Cap/Sales(3y)0.53%
Cap/Sales(5y)0.5%
Profit Quality(3y)124.19%
Profit Quality(5y)203.38%
High Growth Momentum
Growth
EPS 1Y (TTM)19.5%
EPS 3Y46.6%
EPS 5Y32.05%
EPS Q2Q%13.77%
EPS Next Y9.6%
EPS Next 2Y9.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%19.71%
Revenue Next Year6.33%
Revenue Next 2Y6.41%
Revenue Next 3YN/A
Revenue Next 5Y8.4%
EBIT growth 1Y22.7%
EBIT growth 3Y36.33%
EBIT growth 5Y23.8%
EBIT Next Year32.03%
EBIT Next 3Y15.32%
EBIT Next 5YN/A
FCF growth 1Y71.79%
FCF growth 3Y67.7%
FCF growth 5Y34.11%
OCF growth 1Y69.57%
OCF growth 3Y64.06%
OCF growth 5Y31.67%
EMCOR GROUP INC / EME FAQ
Can you provide the ChartMill fundamental rating for EMCOR GROUP INC?
ChartMill assigns a fundamental rating of 6 / 10 to EME.
What is the valuation status of EMCOR GROUP INC (EME) stock?
ChartMill assigns a valuation rating of 4 / 10 to EMCOR GROUP INC (EME). This can be considered as Fairly Valued.
How profitable is EMCOR GROUP INC (EME) stock?
EMCOR GROUP INC (EME) has a profitability rating of 8 / 10.
What is the financial health of EMCOR GROUP INC (EME) stock?
The financial health rating of EMCOR GROUP INC (EME) is 8 / 10.
How sustainable is the dividend of EMCOR GROUP INC (EME) stock?
The dividend rating of EMCOR GROUP INC (EME) is 6 / 10 and the dividend payout ratio is 4.01%.