CONSTRUCTION PARTNERS INC-A (ROAD) Fundamental Analysis & Valuation
NASDAQ:ROAD • US21044C1071
Current stock price
106.72 USD
-2.16 (-1.98%)
At close:
107.5 USD
+0.78 (+0.73%)
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
- In the past year ROAD was profitable.
- In the past year ROAD had a positive cash flow from operations.
- ROAD had positive earnings in each of the past 5 years.
- In the past 5 years ROAD always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 3.63%, ROAD perfoms like the industry average, outperforming 51.79% of the companies in the same industry.
- ROAD's Return On Equity of 12.59% is in line compared to the rest of the industry. ROAD outperforms 57.14% of its industry peers.
- ROAD's Return On Invested Capital of 7.06% is in line compared to the rest of the industry. ROAD outperforms 50.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ROAD is significantly below the industry average of 17.34%.
- 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
- ROAD's Profit Margin of 3.99% is in line compared to the rest of the industry. ROAD outperforms 58.93% of its industry peers.
- ROAD's Profit Margin has declined in the last couple of years.
- With a decent Operating Margin value of 8.74%, ROAD is doing good in the industry, outperforming 60.71% of the companies in the same industry.
- In the last couple of years the Operating Margin of ROAD has grown nicely.
- ROAD's Gross Margin of 15.82% is in line compared to the rest of the industry. ROAD outperforms 46.43% of its industry peers.
- 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
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ROAD is destroying value.
- ROAD has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ROAD has been increased compared to 5 years ago.
- Compared to 1 year ago, ROAD has a worse debt to assets ratio.
2.2 Solvency
- ROAD has an Altman-Z score of 3.01. This indicates that ROAD is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of ROAD (3.01) is comparable to the rest of the industry.
- ROAD has a debt to FCF ratio of 9.35. This is a negative value and a sign of low solvency as ROAD would need 9.35 years to pay back of all of its debts.
- The Debt to FCF ratio of ROAD (9.35) is comparable to the rest of the industry.
- A Debt/Equity ratio of 1.76 is on the high side and indicates that ROAD has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.76, ROAD is not doing good in the industry: 76.79% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 9.35 | ||
| Altman-Z | 3.01 |
ROIC/WACC0.71
WACC10%
2.3 Liquidity
- A Current Ratio of 1.59 indicates that ROAD should not have too much problems paying its short term obligations.
- ROAD has a Current ratio of 1.59. This is in the better half of the industry: ROAD outperforms 78.57% 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.
- ROAD has a Quick ratio (1.26) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.26 |
3. ROAD Growth Analysis
3.1 Past
- ROAD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 76.64%, which is quite impressive.
- ROAD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.93% yearly.
- 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.
- The Revenue is expected to grow by 13.63% on average over the next years. This is quite good.
EPS Next Y36.23%
EPS Next 2Y30.89%
EPS Next 3Y19.89%
EPS Next 5Y16.96%
Revenue Next Year25.58%
Revenue Next 2Y17.54%
Revenue Next 3Y14.54%
Revenue Next 5Y13.63%
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.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. ROAD Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 44.10, ROAD can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as ROAD.
- ROAD is valuated expensively when we compare the Price/Earnings ratio to 26.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 28.44, the valuation of ROAD can be described as expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as ROAD.
- The average S&P500 Price/Forward Earnings ratio is at 23.10. ROAD is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.1 | ||
| Fwd PE | 28.44 |
4.2 Price Multiples
- ROAD's Enterprise Value to EBITDA is on the same level as the industry average.
- ROAD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.35 | ||
| EV/EBITDA | 18.13 |
4.3 Compensation for Growth
- ROAD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- ROAD's earnings are expected to grow with 19.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.22
PEG (5Y)1.92
EPS Next 2Y30.89%
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
106.72
-2.16 (-1.98%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)02-05 2026-02-05/bmo
Earnings (Next)05-07 2026-05-07
Inst Owners99.86%
Inst Owner Change0%
Ins Owners1.35%
Ins Owner Change0.71%
Market Cap6.03B
Revenue(TTM)3.06B
Net Income(TTM)122.04M
Analysts85
Price Target138.72 (29.99%)
Short Float %5.98%
Short Ratio4.95
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)2.04%
PT rev (3m)6.25%
EPS NQ rev (1m)-233.3%
EPS NQ rev (3m)-131%
EPS NY rev (1m)0%
EPS NY rev (3m)2.99%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-3.01%
Revenue NY rev (1m)0.25%
Revenue NY rev (3m)2.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.1 | ||
| Fwd PE | 28.44 | ||
| P/S | 1.97 | ||
| P/FCF | 32.35 | ||
| P/OCF | 18.12 | ||
| P/B | 6.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.13 |
EPS(TTM)2.42
EY2.27%
EPS(NY)3.75
Fwd EY3.52%
FCF(TTM)3.3
FCFY3.09%
OCF(TTM)5.89
OCFY5.52%
SpS54.14
BVpS17.15
TBVpS-3.3
PEG (NY)1.22
PEG (5Y)1.92
Graham Number30.56
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 | 3.01 |
F-Score8
WACC10%
ROIC/WACC0.71
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 Y36.23%
EPS Next 2Y30.89%
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 Year25.58%
Revenue Next 2Y17.54%
Revenue Next 3Y14.54%
Revenue Next 5Y13.63%
EBIT growth 1Y116.7%
EBIT growth 3Y94.68%
EBIT growth 5Y34.94%
EBIT Next Year135.29%
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.