Primoris Services Corporation (NASDAQ:PRIM) shares fell to a low of $31.05 before closing at $31.50. Intraday shares traded counted 0.42 million, which was 26.49% higher than its 30-day average trading volume of 574.04K. PRIM’s previous close was $30.78 while the outstanding shares total 49.50M. The firm has a beta of 1.26, a 12-month trailing P/E ratio of 13.37, and a growth ratio of 1.34. The stock’s Relative Strength Index (RSI) is 46.29, with weekly volatility at 2.28% and ATR at 0.96. The PRIM stock’s 52-week price range has touched low of $15.03 and a $41.76 high. The stock traded higher over the last trading session, gaining 2.34% on 05/27/21.
Investors have identified the Engineering & Construction company Primoris Services Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $1.66 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Primoris Services Corporation (PRIM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For PRIM, the company has in raw cash 212.77 million on their books with 61.48 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 1.1 billion total, with 796.75 million as their total liabilities.
PRIM were able to record -11.56 million as free cash flow during the 08/10/2021 quarter of the year, this saw their quarterly net cash flow reduce by -113.97 million. In cash movements, the company had a total of 7.51 million as operating cash flow.
Potential earnings growth for Primoris Services Corporation (PRIM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 08/10/2021 quarter of the year, Primoris Services Corporation recorded a total of 818.33 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 9.18% coming in sequential stages and their sales for the 08/10/2021 quarter reducing by -9.65%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 738.15 million trying to sell their products during the last quarter, with the result yielding a gross income of 80.18 million. This allows shareholders to hold on to 49.50M with the recently reported earning now reading 0.12 cents per share. This is a figure that compared to analyst’s prediction for their 08/10/2021 (0.32 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.81 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on PRIM sounds very interesting.
Is the stock of PRIM attractive?
In related news, Director, Schauerman John P. sold 20,000 shares of the company’s stock in a transaction that recorded on Nov 18. The sale was performed at an average price of 23.84, for a total value of 476,800. As the sale deal closes, the Director, Schauerman John P. now sold 50,000 shares of the company’s stock, valued at 1,173,000. Also, Director, Tucker Thomas E. sold 8,789 shares of the company’s stock in a deal that was recorded on Nov 10. The shares were price at an average price of 22.89 per share, with a total market value of 201,158. Following this completion of acquisition, the Director, Tucker Thomas E. now holds 10,000 shares of the company’s stock, valued at 186,900. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.50%.
4 out of 5 analysts covering the stock have rated it a Buy, while 1 have maintained a Hold recommendation on Primoris Services Corporation. 0 analysts has assigned a Sell rating on the PRIM stock. The 12-month mean consensus price target for the company’s shares has been set at $37.60.