Please ensure Javascript is enabled for purposes of website accessibility

Primoris Services Corporation (PRIM) - Wall Street’s Best Digest Daily Alert - 4/8/21

This engineering and construction firm surprised Wall Street last quarter. Beating EPS forecasts by $0.23. Note: we recommended PRIM in the last issue of Wall Street’s Best Stocks.

Primoris Services Corporation (PRIM)
From Upside

A leading engineering and construction contractor, Primoris Services has ample upside. Its implied upside ranges from 10% to 82%, with an average of 48%. While hitting that figure could prove challenging, shares appear capable of advancing 30% over the next 18 months.

At 13 times estimated 2021 earnings, the stock offers a 42% discount to industry peers.

Primoris stands to benefit from a potentially massive infrastructure spending initiative. Analysts are increasingly optimistic about Primoris. The consensus calls for earnings per share to climb 10% in 2021, up from an expected decline of 5% just 60 days ago. A steady stream of project wins should sustain growth.

Last month, the company was awarded a contract valued at more than $220 million for a solar project in the Southwest. It also received a $35 million contract for roadwork in Texas.

Primoris is a Best Buy.

Richard J. Moroney, CFA, Upside,, 800-233-5922, April 2021