PRIMORIS SERVICES CORP (PRIM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PRIM - US74164F1030 - Common Stock
117.05 USD
+0.32 (+0.27%)
117.05 USD
0 (0%)
Taking everything into account, PRIM scores 6 out of 10 in our fundamental rating. PRIM was compared to 55 industry peers in the Construction & Engineering industry. Both the profitability and the financial health of PRIM get a neutral evaluation. Nothing too spectacular is happening here. 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.
Each year in the past 5 years PRIM had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.96%, PRIM is in the better half of the industry, outperforming 67.27% of the companies in the same industry.
PRIM's Return On Equity of 17.03% is fine compared to the rest of the industry. PRIM outperforms 69.09% of its industry peers.
PRIM has a Return On Invested Capital of 12.01%. This is in the better half of the industry: PRIM outperforms 74.55% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PRIM is significantly below the industry average of 16.87%.
The last Return On Invested Capital (12.01%) for PRIM is above the 3 year average (7.18%), which is a sign of increasing profitability.
| 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's Profit Margin of 3.72% is in line compared to the rest of the industry. PRIM outperforms 58.18% of its industry peers.
In the last couple of years the Profit Margin of PRIM has remained more or less at the same level.
PRIM has a Operating Margin (5.69%) which is in line with its industry peers.
In the last couple of years the Operating Margin of PRIM has grown nicely.
The Gross Margin of PRIM (11.03%) is worse than 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
PRIM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
PRIM has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, PRIM has more shares outstanding
Compared to 1 year ago, PRIM has an improved debt to assets ratio.
2.2 Solvency
PRIM has an Altman-Z score of 3.67. This indicates that PRIM is financially healthy and has little risk of bankruptcy at the moment.
PRIM has a better Altman-Z score (3.67) than 65.45% of its industry peers.
The Debt to FCF ratio of PRIM is 0.99, which is an excellent value as it means it would take PRIM, only 0.99 years of fcf income to pay off all of its debts.
PRIM's Debt to FCF ratio of 0.99 is amongst the best of the industry. PRIM outperforms 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.
PRIM's Debt to Equity ratio of 0.26 is fine compared to the rest of the industry. PRIM outperforms 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 3.67 |
ROIC/WACC1.2
WACC10.04%
2.3 Liquidity
PRIM has a Current Ratio of 1.20. This is a normal value and indicates that PRIM is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of PRIM (1.20) is comparable to the rest of the industry.
PRIM has a Quick Ratio of 1.20. This is a normal value and indicates that PRIM is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of PRIM (1.20) is comparable to the rest of the 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.
The Revenue has grown by 21.45% in the past year. This is a very strong growth!
PRIM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.43% yearly.
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
PRIM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.02% yearly.
Based on estimates for the next years, PRIM will show a small growth in Revenue. The Revenue will grow by 7.99% on average per year.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PRIM is valuated rather expensively with a Price/Earnings ratio of 20.64.
Based on the Price/Earnings ratio, PRIM is valued a bit cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of PRIM to the average of the S&P500 Index (25.45), we can say PRIM is valued inline with the index average.
A Price/Forward Earnings ratio of 19.84 indicates a rather expensive valuation of PRIM.
74.55% of the companies in the same industry are more expensive than PRIM, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of PRIM to the average of the S&P500 Index (34.46), we can say PRIM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.64 | ||
| Fwd PE | 19.84 |
4.2 Price Multiples
78.18% of the companies in the same industry are more expensive than PRIM, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, PRIM is valued cheaply inside the industry as 87.27% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.92 | ||
| EV/EBITDA | 12.39 |
4.3 Compensation for Growth
PRIM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PRIM has a very decent profitability rating, which 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)0.59
PEG (5Y)1.09
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.
Compared to an average industry Dividend Yield of 1.73, PRIM pays a better dividend. On top of this PRIM pays more dividend than 83.64% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, PRIM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
5.2 History
The dividend of PRIM decreases each year by -0.43%.
PRIM has paid a dividend for at least 10 years, which is 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%
117.05
+0.32 (+0.27%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners100.46%
Inst Owner Change-76.32%
Ins Owners0.86%
Ins Owner Change-1.12%
Market Cap6.32B
Revenue(TTM)7.46B
Net Income(TTM)277.14M
Analysts81.11
Price Target157.68 (34.71%)
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 | 20.64 | ||
| Fwd PE | 19.84 | ||
| P/S | 0.85 | ||
| P/FCF | 12.92 | ||
| P/OCF | 10.11 | ||
| P/B | 3.89 | ||
| P/tB | 10.97 | ||
| EV/EBITDA | 12.39 |
EPS(TTM)5.67
EY4.84%
EPS(NY)5.9
Fwd EY5.04%
FCF(TTM)9.06
FCFY7.74%
OCF(TTM)11.58
OCFY9.9%
SpS138.05
BVpS30.13
TBVpS10.67
PEG (NY)0.59
PEG (5Y)1.09
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 | 3.67 |
F-Score7
WACC10.04%
ROIC/WACC1.2
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 20.64 and the Price/Book (PB) ratio is 3.89.
Can you provide the financial health for PRIM stock?
The financial health rating of PRIMORIS SERVICES CORP (PRIM) is 6 / 10.