CONSTRUCTION PARTNERS INC-A (ROAD) Fundamental Analysis & Valuation
NASDAQ:ROAD • US21044C1071
Current stock price
117.08 USD
-3.71 (-3.07%)
At close:
117.08 USD
0 (0%)
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.
- ROAD had a positive operating cash flow in the past year.
- 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 of 12.59%. This is comparable to the rest of the industry: ROAD outperforms 56.36% of its industry peers.
- ROAD has a Return On Invested Capital (7.06%) which is comparable to the rest of the industry.
- 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
- ROAD has a Profit Margin (3.99%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of ROAD has declined.
- With a decent Operating Margin value of 8.74%, ROAD is doing good in the industry, outperforming 63.64% of the companies in the same industry.
- ROAD's Operating Margin has improved in the last couple of years.
- ROAD has a Gross Margin (15.82%) which is in line with 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
- ROAD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ROAD has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ROAD has more shares outstanding
- Compared to 1 year ago, ROAD has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.12 indicates that ROAD is not in any danger for bankruptcy at the moment.
- With a Altman-Z score value of 3.12, 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.
- ROAD has a Debt to FCF ratio (9.35) which is in line with its industry peers.
- A Debt/Equity ratio of 1.76 is on the high side and indicates that ROAD has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.76, ROAD is doing worse than 78.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 9.35 | ||
| Altman-Z | 3.12 |
ROIC/WACC0.67
WACC10.58%
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.
- With a decent Current ratio value of 1.59, ROAD is doing good in the industry, outperforming 72.73% of the companies in the same industry.
- 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 in line with its industry peers.
| 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.
- ROAD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.93% yearly.
- Looking at the last year, ROAD shows a very strong growth in Revenue. The Revenue has grown by 53.86%.
- Measured over the past years, ROAD shows a very strong growth in Revenue. The Revenue has been growing by 29.05% on average per year.
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 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.
- 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
- ROAD is valuated quite expensively with a Price/Earnings ratio of 48.38.
- The rest of the industry has a similar Price/Earnings ratio as ROAD.
- The average S&P500 Price/Earnings ratio is at 26.91. ROAD is valued rather expensively when compared to this.
- With a Price/Forward Earnings ratio of 31.51, ROAD can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Forward Earnings ratio as ROAD.
- When comparing the Price/Forward Earnings ratio of ROAD to the average of the S&P500 Index (21.99), we can say ROAD is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.38 | ||
| Fwd PE | 31.51 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as ROAD.
- ROAD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.49 | ||
| EV/EBITDA | 19.21 |
4.3 Compensation for Growth
- ROAD's 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)1.56
PEG (5Y)2.11
EPS Next 2Y30.26%
EPS Next 3Y19.89%
5. ROAD Dividend Analysis
5.1 Amount
- ROAD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ROAD Fundamentals: All Metrics, Ratios and Statistics
117.08
-3.71 (-3.07%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Industry Strength91.3
Industry Growth93.17
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 Cap6.62B
Revenue(TTM)3.06B
Net Income(TTM)122.04M
Analysts85
Price Target142.8 (21.97%)
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 | 48.38 | ||
| Fwd PE | 31.51 | ||
| P/S | 2.16 | ||
| P/FCF | 35.49 | ||
| P/OCF | 19.88 | ||
| P/B | 6.83 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.21 |
EPS(TTM)2.42
EY2.07%
EPS(NY)3.72
Fwd EY3.17%
FCF(TTM)3.3
FCFY2.82%
OCF(TTM)5.89
OCFY5.03%
SpS54.14
BVpS17.15
TBVpS-3.3
PEG (NY)1.56
PEG (5Y)2.11
Graham Number30.5557 (-73.9%)
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 | 3.12 |
F-Score8
WACC10.58%
ROIC/WACC0.67
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.