Primoris Services Earnings: Here’s Why the Stock is Rising Now
Primoris Services Corporation (NASDAQ:PRIM) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 2.85%.
Primoris Services Corporation Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 30.43% to $0.3 in the quarter versus EPS of $0.23 in the year-earlier quarter.
Revenue: Rose 31.88% to $445 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Primoris Services Corporation reported adjusted EPS income of $0.3 per share. By that measure, the company beat the mean analyst estimate of $0.29. It missed the average revenue estimate of $451.2 million.
Quoting Management: Brian Pratt, Chairman, President and Chief Executive Officer of Primoris commented, “Our strong second quarter results highlight the success of Primoris’s strategy to focus on specialized end markets, as our revenue growth was split almost evenly between our recent acquisitions and our legacy businesses. As expected, our operating margins improved from the first quarter, aided by both our pipeline and our industrial work. With a solid balance sheet and a growing backlog, we are confident that our growing momentum will provide for a strong second half.”
Key Stats (on next page)…
Revenue increased 8.54% from $410 million in the previous quarter. EPS increased 57.89% from $0.19 in the previous quarter.
Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.44 to a profit $0.43. For the current year, the average estimate has moved down from a profit of $1.34 to a profit of $1.31 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)