Construction Partners Inc (NASDAQ: NASDAQ:ROAD), a civil infrastructure company, has reached an all-time high, with its stock price soaring to $103.03. According to InvestingPro data, the company's market capitalization now stands at $5.7 billion, with the stock trading near its 52-week high of $102.57. This milestone reflects a significant surge in the company's market value, marking a 143.09% increase over the past year. The company has demonstrated strong financial performance with revenue growth of 16.7% in the last twelve months, reaching $1.8 billion. InvestingPro analysis indicates the stock is currently trading above its Fair Value, with multiple ProTips suggesting elevated valuation metrics, including a P/E ratio of 76x. Investors seeking deeper insights into Construction Partners' valuation and growth prospects can access the comprehensive Pro Research Report, along with 19 additional ProTips, exclusively available on InvestingPro. The impressive 1-year change underscores the robust growth trajectory of Construction Partners, as investors show increasing confidence in the company's performance and future prospects in the construction sector. The all-time high represents a culmination of sustained positive momentum for the firm, as it continues to expand its operations and secure new contracts.
In other recent news, Construction Partners Inc. reported a record fiscal year in 2024, with revenue growing by 17% to $1.82 billion and net income rising by 41% to $68.9 million. Adjusted EBITDA also saw a significant increase of 28%, reaching $220.6 million. The acquisition of Lone Star Paving played a transformative role in the company's strategy, enhancing its presence in Texas and contributing to its EBITDA margins. Additionally, the company completed eight acquisitions in fiscal 2024, further expanding its market share in Sunbelt states.
In terms of future developments, the company anticipates robust demand in commercial and public markets, backed by the Infrastructure Investment and Jobs Act. For fiscal 2025, Construction Partners projects increased revenue between $2.48 billion and $2.58 billion, and adjusted EBITDA between $347 million and $377 million.
DA Davidson, meanwhile, has raised the price target for Construction Partners from $75 to $95, maintaining a Neutral rating. This adjustment reflects the positive impact of the Lone Star Paving acquisition and a positive outlook on the company's future. The firm's analyst noted the company's improving margins, driven by the Lone Star integration, and the healthy growth in bookings and backlog.
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