CONSTRUCTION PARTNERS INC-A (ROAD) Fundamental Analysis & Valuation
NASDAQ:ROAD • US21044C1071
Current stock price
123.66 USD
+8.31 (+7.2%)
At close:
123.6 USD
-0.06 (-0.05%)
After Hours:
This ROAD fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ROAD Profitability Analysis
1.1 Basic Checks
- ROAD had positive earnings in the past year.
- In the past year ROAD had a positive cash flow from operations.
- Each year in the past 5 years ROAD has been profitable.
- Each year in the past 5 years ROAD had a positive operating cash flow.
1.2 Ratios
- ROAD has a Return On Assets (3.63%) which is in line with its industry peers.
- ROAD has a Return On Equity (12.59%) which is in line with its industry peers.
- ROAD's Return On Invested Capital of 7.06% is in line compared to the rest of the industry. ROAD outperforms 49.09% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ROAD is significantly below the industry average of 14.27%.
- The 3 year average ROIC (6.46%) for ROAD is below the current ROIC(7.06%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.63% | ||
| ROE | 12.59% | ||
| ROIC | 7.06% |
ROA(3y)3.88%
ROA(5y)3.22%
ROE(3y)10.89%
ROE(5y)8.46%
ROIC(3y)6.46%
ROIC(5y)5.12%
1.3 Margins
- Looking at the Profit Margin, with a value of 3.99%, ROAD is in line with its industry, outperforming 58.18% of the companies in the same industry.
- ROAD's Profit Margin has declined in the last couple of years.
- ROAD's Operating Margin of 8.74% is fine compared to the rest of the industry. ROAD outperforms 63.64% of its industry peers.
- In the last couple of years the Operating Margin of ROAD has grown nicely.
- Looking at the Gross Margin, with a value of 15.82%, ROAD is in line with its industry, outperforming 47.27% of the companies in the same industry.
- ROAD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.74% | ||
| PM (TTM) | 3.99% | ||
| GM | 15.82% |
OM growth 3Y50.59%
OM growth 5Y4.56%
PM growth 3Y30.09%
PM growth 5Y-6.74%
GM growth 3Y13.42%
GM growth 5Y0.08%
2. ROAD Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ROAD is destroying value.
- ROAD has more shares outstanding than it did 1 year ago.
- ROAD has more shares outstanding than it did 5 years ago.
- ROAD has a worse debt/assets ratio than last year.
2.2 Solvency
- ROAD has an Altman-Z score of 3.10. This indicates that ROAD is financially healthy and has little risk of bankruptcy at the moment.
- With a Altman-Z score value of 3.10, ROAD perfoms like the industry average, outperforming 47.27% of the companies in the same industry.
- The Debt to FCF ratio of ROAD is 9.35, which is on the high side as it means it would take ROAD, 9.35 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 9.35, ROAD is in line with its industry, outperforming 50.91% of the companies in the same industry.
- A Debt/Equity ratio of 1.76 is on the high side and indicates that ROAD has dependencies on debt financing.
- ROAD has a worse Debt to Equity ratio (1.76) than 78.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 9.35 | ||
| Altman-Z | 3.1 |
ROIC/WACC0.66
WACC10.64%
2.3 Liquidity
- ROAD has a Current Ratio of 1.59. This is a normal value and indicates that ROAD is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of ROAD (1.59) is better than 72.73% of its industry peers.
- ROAD has a Quick Ratio of 1.26. This is a normal value and indicates that ROAD is financially healthy and should not expect problems in meeting its short term obligations.
- With a Quick ratio value of 1.26, ROAD perfoms like the industry average, outperforming 49.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.26 |
3. ROAD Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an impressive 76.64% over the past year.
- Measured over the past years, ROAD shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.93% on average per year.
- ROAD shows a strong growth in Revenue. In the last year, the Revenue has grown by 53.86%.
- The Revenue has been growing by 29.05% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)76.64%
EPS 3Y74.8%
EPS 5Y22.93%
EPS Q2Q%95.83%
Revenue 1Y (TTM)53.86%
Revenue growth 3Y29.28%
Revenue growth 5Y29.05%
Sales Q2Q%44.14%
3.2 Future
- Based on estimates for the next years, ROAD will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.96% on average per year.
- ROAD is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.63% yearly.
EPS Next Y30.99%
EPS Next 2Y30.26%
EPS Next 3Y19.89%
EPS Next 5Y16.96%
Revenue Next Year25.45%
Revenue Next 2Y17.63%
Revenue Next 3Y14.54%
Revenue Next 5Y13.63%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. ROAD Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 51.10, which means the current valuation is very expensive for ROAD.
- Compared to the rest of the industry, the Price/Earnings ratio of ROAD is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of ROAD to the average of the S&P500 Index (26.77), we can say ROAD is valued expensively.
- The Price/Forward Earnings ratio is 33.28, which means the current valuation is very expensive for ROAD.
- ROAD's Price/Forward Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 21.75, ROAD is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.1 | ||
| Fwd PE | 33.28 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ROAD indicates a somewhat cheap valuation: ROAD is cheaper than 61.82% of the companies listed in the same industry.
- ROAD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.48 | ||
| EV/EBITDA | 18.98 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as ROAD's earnings are expected to grow with 19.89% in the coming years.
PEG (NY)1.65
PEG (5Y)2.23
EPS Next 2Y30.26%
EPS Next 3Y19.89%
5. ROAD Dividend Analysis
5.1 Amount
- No dividends for ROAD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ROAD Fundamentals: All Metrics, Ratios and Statistics
123.66
+8.31 (+7.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Industry Strength91.93
Industry Growth91.3
Earnings (Last)02-05 2026-02-05/bmo
Earnings (Next)05-08 2026-05-08
Inst Owners99.88%
Inst Owner Change-0.79%
Ins Owners1.35%
Ins Owner Change0.5%
Market Cap6.99B
Revenue(TTM)3.06B
Net Income(TTM)122.04M
Analysts85
Price Target142.8 (15.48%)
Short Float %6.15%
Short Ratio5.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)24.18%
Min EPS beat(2)-4.51%
Max EPS beat(2)52.87%
EPS beat(4)2
Avg EPS beat(4)58.53%
Min EPS beat(4)-4.51%
Max EPS beat(4)189.13%
EPS beat(8)5
Avg EPS beat(8)44.37%
EPS beat(12)9
Avg EPS beat(12)39.25%
EPS beat(16)11
Avg EPS beat(16)20.18%
Revenue beat(2)1
Avg Revenue beat(2)1.98%
Min Revenue beat(2)-1.55%
Max Revenue beat(2)5.51%
Revenue beat(4)2
Avg Revenue beat(4)0.41%
Min Revenue beat(4)-2.5%
Max Revenue beat(4)5.51%
Revenue beat(8)4
Avg Revenue beat(8)0.79%
Revenue beat(12)6
Avg Revenue beat(12)1.17%
Revenue beat(16)10
Avg Revenue beat(16)3.35%
PT rev (1m)5.04%
PT rev (3m)9.38%
EPS NQ rev (1m)-75%
EPS NQ rev (3m)-125.93%
EPS NY rev (1m)-3.85%
EPS NY rev (3m)-1.07%
Revenue NQ rev (1m)-0.49%
Revenue NQ rev (3m)-2.78%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)2.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51.1 | ||
| Fwd PE | 33.28 | ||
| P/S | 2.28 | ||
| P/FCF | 37.48 | ||
| P/OCF | 21 | ||
| P/B | 7.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.98 |
EPS(TTM)2.42
EY1.96%
EPS(NY)3.72
Fwd EY3.01%
FCF(TTM)3.3
FCFY2.67%
OCF(TTM)5.89
OCFY4.76%
SpS54.14
BVpS17.15
TBVpS-3.3
PEG (NY)1.65
PEG (5Y)2.23
Graham Number30.5557 (-75.29%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.63% | ||
| ROE | 12.59% | ||
| ROCE | 9.38% | ||
| ROIC | 7.06% | ||
| ROICexc | 7.33% | ||
| ROICexgc | 12.66% | ||
| OM | 8.74% | ||
| PM (TTM) | 3.99% | ||
| GM | 15.82% | ||
| FCFM | 6.09% |
ROA(3y)3.88%
ROA(5y)3.22%
ROE(3y)10.89%
ROE(5y)8.46%
ROIC(3y)6.46%
ROIC(5y)5.12%
ROICexc(3y)6.56%
ROICexc(5y)5.35%
ROICexgc(3y)9.12%
ROICexgc(5y)7.18%
ROCE(3y)8.59%
ROCE(5y)6.81%
ROICexgc growth 3Y45.91%
ROICexgc growth 5Y-4.23%
ROICexc growth 3Y32.3%
ROICexc growth 5Y-10.35%
OM growth 3Y50.59%
OM growth 5Y4.56%
PM growth 3Y30.09%
PM growth 5Y-6.74%
GM growth 3Y13.42%
GM growth 5Y0.08%
F-Score8
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 9.35 | ||
| Debt/EBITDA | 3.97 | ||
| Cap/Depr | 90.2% | ||
| Cap/Sales | 4.78% | ||
| Interest Coverage | 2.91 | ||
| Cash Conversion | 77.45% | ||
| Profit Quality | 152.8% | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.1 |
F-Score8
WACC10.64%
ROIC/WACC0.66
Cap/Depr(3y)103.77%
Cap/Depr(5y)105.84%
Cap/Sales(3y)5.33%
Cap/Sales(5y)5.49%
Profit Quality(3y)149.22%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)76.64%
EPS 3Y74.8%
EPS 5Y22.93%
EPS Q2Q%95.83%
EPS Next Y30.99%
EPS Next 2Y30.26%
EPS Next 3Y19.89%
EPS Next 5Y16.96%
Revenue 1Y (TTM)53.86%
Revenue growth 3Y29.28%
Revenue growth 5Y29.05%
Sales Q2Q%44.14%
Revenue Next Year25.45%
Revenue Next 2Y17.63%
Revenue Next 3Y14.54%
Revenue Next 5Y13.63%
EBIT growth 1Y116.7%
EBIT growth 3Y94.68%
EBIT growth 5Y34.94%
EBIT Next Year134.24%
EBIT Next 3Y39.41%
EBIT Next 5Y26.02%
FCF growth 1Y94.76%
FCF growth 3YN/A
FCF growth 5Y23.87%
OCF growth 1Y76.46%
OCF growth 3Y160.39%
OCF growth 5Y22.59%
CONSTRUCTION PARTNERS INC-A / ROAD Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for CONSTRUCTION PARTNERS INC-A?
ChartMill assigns a fundamental rating of 4 / 10 to ROAD.
What is the valuation status for ROAD stock?
ChartMill assigns a valuation rating of 2 / 10 to CONSTRUCTION PARTNERS INC-A (ROAD). This can be considered as Overvalued.
How profitable is CONSTRUCTION PARTNERS INC-A (ROAD) stock?
CONSTRUCTION PARTNERS INC-A (ROAD) has a profitability rating of 5 / 10.
What is the financial health of CONSTRUCTION PARTNERS INC-A (ROAD) stock?
The financial health rating of CONSTRUCTION PARTNERS INC-A (ROAD) is 3 / 10.