PRIMORIS SERVICES CORP (PRIM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PRIM - US74164F1030 - Common Stock
126.56 USD
+0.43 (+0.34%)
126.54 USD
-0.02 (-0.02%)
We assign a fundamental rating of 6 out of 10 to PRIM. PRIM was compared to 55 industry peers in the Construction & Engineering industry. PRIM has only an average score on both its financial health and profitability. PRIM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year PRIM was profitable.
PRIM had a positive operating cash flow in the past year.
PRIM had positive earnings in each of the past 5 years.
In the past 5 years PRIM always reported a positive cash flow from operatings.
1.2 Ratios
PRIM's Return On Assets of 5.96% is fine compared to the rest of the industry. PRIM outperforms 67.27% of its industry peers.
With a decent Return On Equity value of 17.03%, PRIM is doing good in the industry, outperforming 69.09% of the companies in the same industry.
The Return On Invested Capital of PRIM (12.01%) is better than 72.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PRIM is significantly below the industry average of 17.30%.
The 3 year average ROIC (7.18%) for PRIM is below the current ROIC(12.01%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | 17.03% | ||
| ROIC | 12.01% |
ROA(3y)3.79%
ROA(5y)4.25%
ROE(3y)11.68%
ROE(5y)12.28%
ROIC(3y)7.18%
ROIC(5y)7.76%
1.3 Margins
PRIM has a Profit Margin of 3.72%. This is comparable to the rest of the industry: PRIM outperforms 58.18% of its industry peers.
PRIM's Profit Margin has been stable in the last couple of years.
PRIM has a Operating Margin (5.69%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PRIM has grown nicely.
PRIM has a Gross Margin of 11.03%. This is in the lower half of the industry: PRIM underperforms 70.91% of its industry peers.
In the last couple of years the Gross Margin of PRIM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.69% | ||
| PM (TTM) | 3.72% | ||
| GM | 11.03% |
OM growth 3Y-1.97%
OM growth 5Y2.07%
PM growth 3Y-4.92%
PM growth 5Y1.41%
GM growth 3Y-2.49%
GM growth 5Y0.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PRIM is still creating some value.
The number of shares outstanding for PRIM has been increased compared to 1 year ago.
PRIM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PRIM has been reduced compared to a year ago.
2.2 Solvency
PRIM has an Altman-Z score of 3.77. This indicates that PRIM is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of PRIM (3.77) is better than 65.45% of its industry peers.
PRIM has a debt to FCF ratio of 0.99. This is a very positive value and a sign of high solvency as it would only need 0.99 years to pay back of all of its debts.
PRIM has a better Debt to FCF ratio (0.99) than 81.82% of its industry peers.
PRIM has a Debt/Equity ratio of 0.26. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.26, PRIM is doing good in the industry, outperforming 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 3.77 |
ROIC/WACC1.15
WACC10.41%
2.3 Liquidity
A Current Ratio of 1.20 indicates that PRIM should not have too much problems paying its short term obligations.
PRIM has a Current ratio (1.20) which is comparable to the rest of the industry.
A Quick Ratio of 1.20 indicates that PRIM should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.20, PRIM perfoms like the industry average, outperforming 50.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 65.79% over the past year.
PRIM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.96% yearly.
Looking at the last year, PRIM shows a very strong growth in Revenue. The Revenue has grown by 21.45%.
Measured over the past years, PRIM shows a quite strong growth in Revenue. The Revenue has been growing by 15.43% on average per year.
EPS 1Y (TTM)65.79%
EPS 3Y21.73%
EPS 5Y18.96%
EPS Q2Q%54.1%
Revenue 1Y (TTM)21.45%
Revenue growth 3Y22.1%
Revenue growth 5Y15.43%
Sales Q2Q%32.1%
3.2 Future
Based on estimates for the next years, PRIM will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.02% on average per year.
The Revenue is expected to grow by 7.99% on average over the next years.
EPS Next Y34.94%
EPS Next 2Y23.64%
EPS Next 3Y21.88%
EPS Next 5Y13.02%
Revenue Next Year14.07%
Revenue Next 2Y11.3%
Revenue Next 3Y11.09%
Revenue Next 5Y7.99%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue 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
The Price/Earnings ratio is 22.32, which indicates a rather expensive current valuation of PRIM.
PRIM's Price/Earnings ratio is a bit cheaper when compared to the industry. PRIM is cheaper than 80.00% of the companies in the same industry.
PRIM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 21.45, the valuation of PRIM can be described as rather expensive.
PRIM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PRIM is cheaper than 74.55% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, PRIM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.32 | ||
| Fwd PE | 21.45 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PRIM indicates a somewhat cheap valuation: PRIM is cheaper than 76.36% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PRIM is valued cheaply inside the industry as 85.45% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.97 | ||
| EV/EBITDA | 13.35 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of PRIM may justify a higher PE ratio.
PRIM's earnings are expected to grow with 21.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)1.18
EPS Next 2Y23.64%
EPS Next 3Y21.88%
5. Dividend
5.1 Amount
With a yearly dividend of 0.27%, PRIM is not a good candidate for dividend investing.
PRIM's Dividend Yield is rather good when compared to the industry average which is at 1.73. PRIM pays more dividend than 83.64% of the companies in the same industry.
With a Dividend Yield of 0.27, PRIM pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
5.2 History
The dividend of PRIM decreases each year by -0.43%.
PRIM has been paying a dividend for at least 10 years, so it has a reliable track record.
PRIM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.43%
Div Incr Years1
Div Non Decr Years16
5.3 Sustainability
5.83% of the earnings are spent on dividend by PRIM. This is a low number and sustainable payout ratio.
DP5.83%
EPS Next 2Y23.64%
EPS Next 3Y21.88%
126.56
+0.43 (+0.34%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners100.46%
Inst Owner Change-2.24%
Ins Owners0.86%
Ins Owner Change-1.12%
Market Cap6.84B
Revenue(TTM)7.46B
Net Income(TTM)277.14M
Analysts81.11
Price Target157.68 (24.59%)
Short Float %3.07%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
Yearly Dividend0.24
Dividend Growth(5Y)-0.43%
DP5.83%
Div Incr Years1
Div Non Decr Years16
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)42.95%
Min EPS beat(2)33.49%
Max EPS beat(2)52.4%
EPS beat(4)4
Avg EPS beat(4)45.18%
Min EPS beat(4)33.49%
Max EPS beat(4)52.4%
EPS beat(8)8
Avg EPS beat(8)58.61%
EPS beat(12)12
Avg EPS beat(12)52.75%
EPS beat(16)12
Avg EPS beat(16)26.6%
Revenue beat(2)2
Avg Revenue beat(2)12.84%
Min Revenue beat(2)9.74%
Max Revenue beat(2)15.94%
Revenue beat(4)4
Avg Revenue beat(4)10.3%
Min Revenue beat(4)7.09%
Max Revenue beat(4)15.94%
Revenue beat(8)6
Avg Revenue beat(8)4.95%
Revenue beat(12)9
Avg Revenue beat(12)5.14%
Revenue beat(16)11
Avg Revenue beat(16)4.29%
PT rev (1m)23.08%
PT rev (3m)60.81%
EPS NQ rev (1m)-7.27%
EPS NQ rev (3m)-3.4%
EPS NY rev (1m)1.55%
EPS NY rev (3m)13.85%
Revenue NQ rev (1m)4.36%
Revenue NQ rev (3m)5.8%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)4.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.32 | ||
| Fwd PE | 21.45 | ||
| P/S | 0.92 | ||
| P/FCF | 13.97 | ||
| P/OCF | 10.93 | ||
| P/B | 4.2 | ||
| P/tB | 11.86 | ||
| EV/EBITDA | 13.35 |
EPS(TTM)5.67
EY4.48%
EPS(NY)5.9
Fwd EY4.66%
FCF(TTM)9.06
FCFY7.16%
OCF(TTM)11.58
OCFY9.15%
SpS138.05
BVpS30.13
TBVpS10.67
PEG (NY)0.64
PEG (5Y)1.18
Graham Number62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | 17.03% | ||
| ROCE | 16.91% | ||
| ROIC | 12.01% | ||
| ROICexc | 14.5% | ||
| ROICexgc | 29.34% | ||
| OM | 5.69% | ||
| PM (TTM) | 3.72% | ||
| GM | 11.03% | ||
| FCFM | 6.56% |
ROA(3y)3.79%
ROA(5y)4.25%
ROE(3y)11.68%
ROE(5y)12.28%
ROIC(3y)7.18%
ROIC(5y)7.76%
ROICexc(3y)8.27%
ROICexc(5y)9.34%
ROICexgc(3y)16.68%
ROICexgc(5y)17.14%
ROCE(3y)10.11%
ROCE(5y)10.93%
ROICexgc growth 3Y12.35%
ROICexgc growth 5Y11.28%
ROICexc growth 3Y9.48%
ROICexc growth 5Y2.67%
OM growth 3Y-1.97%
OM growth 5Y2.07%
PM growth 3Y-4.92%
PM growth 5Y1.41%
GM growth 3Y-2.49%
GM growth 5Y0.73%
F-Score7
Asset Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 0.99 | ||
| Debt/EBITDA | 0.82 | ||
| Cap/Depr | 151.04% | ||
| Cap/Sales | 1.83% | ||
| Interest Coverage | 13.36 | ||
| Cash Conversion | 121.58% | ||
| Profit Quality | 176.59% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 3.77 |
F-Score7
WACC10.41%
ROIC/WACC1.15
Cap/Depr(3y)108.07%
Cap/Depr(5y)105.81%
Cap/Sales(3y)1.98%
Cap/Sales(5y)2.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)65.79%
EPS 3Y21.73%
EPS 5Y18.96%
EPS Q2Q%54.1%
EPS Next Y34.94%
EPS Next 2Y23.64%
EPS Next 3Y21.88%
EPS Next 5Y13.02%
Revenue 1Y (TTM)21.45%
Revenue growth 3Y22.1%
Revenue growth 5Y15.43%
Sales Q2Q%32.1%
Revenue Next Year14.07%
Revenue Next 2Y11.3%
Revenue Next 3Y11.09%
Revenue Next 5Y7.99%
EBIT growth 1Y37.94%
EBIT growth 3Y19.69%
EBIT growth 5Y17.82%
EBIT Next Year62.14%
EBIT Next 3Y25.55%
EBIT Next 5Y15.9%
FCF growth 1Y537.74%
FCF growth 3YN/A
FCF growth 5Y74.64%
OCF growth 1Y251.1%
OCF growth 3Y85.41%
OCF growth 5Y33.92%
PRIMORIS SERVICES CORP / PRIM FAQ
Can you provide the ChartMill fundamental rating for PRIMORIS SERVICES CORP?
ChartMill assigns a fundamental rating of 6 / 10 to PRIM.
What is the valuation status of PRIMORIS SERVICES CORP (PRIM) stock?
ChartMill assigns a valuation rating of 6 / 10 to PRIMORIS SERVICES CORP (PRIM). This can be considered as Fairly Valued.
What is the profitability of PRIM stock?
PRIMORIS SERVICES CORP (PRIM) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for PRIM stock?
The Price/Earnings (PE) ratio for PRIMORIS SERVICES CORP (PRIM) is 22.32 and the Price/Book (PB) ratio is 4.2.
Can you provide the financial health for PRIM stock?
The financial health rating of PRIMORIS SERVICES CORP (PRIM) is 6 / 10.