StockNews.com Upgrades EMCOR Group (NYSE:EME) to “Strong-Buy”

StockNews.com upgraded shares of EMCOR Group (NYSE:EME) from a buy rating to a strong-buy rating in a report issued on Saturday morning.

Separately, DA Davidson lifted their target price on shares of EMCOR Group from $410.00 to $430.00 and gave the company a buy rating in a research report on Friday, July 26th.

EMCOR Group Stock Performance

Shares of EME stock opened at $427.98 on Friday. The company has a market capitalization of $20.11 billion, a PE ratio of 28.25 and a beta of 1.07. EMCOR Group has a 52-week low of $191.50 and a 52-week high of $443.96. The business’s fifty day moving average is $380.19 and its 200 day moving average is $371.26.

EMCOR Group (NYSE:EME) last released its quarterly earnings results on Thursday, July 25th. The construction company reported $5.25 earnings per share for the quarter, beating the consensus estimate of $3.76 by $1.49. The firm had revenue of $3.67 billion for the quarter, compared to analysts’ expectations of $3.52 billion. EMCOR Group had a return on equity of 32.73% and a net margin of 6.01%. The company’s revenue was up 20.4% compared to the same quarter last year. During the same quarter last year, the firm posted $2.95 EPS. On average, sell-side analysts forecast that EMCOR Group will post 19.5 EPS for the current fiscal year.

EMCOR Group announced that its Board of Directors has initiated a stock buyback program on Friday, June 7th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the construction company to reacquire up to 2.8% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its stock is undervalued.

Insiders Place Their Bets

In related news, Director Robin A. Walker-Lee sold 1,300 shares of the firm’s stock in a transaction dated Monday, July 29th. The stock was sold at an average price of $370.79, for a total transaction of $482,027.00. Following the transaction, the director now directly owns 8,637 shares of the company’s stock, valued at approximately $3,202,513.23. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Corporate insiders own 1.26% of the company’s stock.

Hedge Funds Weigh In On EMCOR Group

Large investors have recently added to or reduced their stakes in the business. Matrix Trust Co purchased a new position in shares of EMCOR Group in the second quarter worth about $26,000. Proffitt & Goodson Inc. purchased a new stake in shares of EMCOR Group during the second quarter valued at approximately $27,000. Innealta Capital LLC bought a new position in shares of EMCOR Group in the second quarter worth approximately $29,000. ORG Partners LLC purchased a new position in shares of EMCOR Group in the second quarter worth $31,000. Finally, Independence Bank of Kentucky purchased a new position in shares of EMCOR Group in the first quarter worth $33,000. Hedge funds and other institutional investors own 92.59% of the company’s stock.

About EMCOR Group

EMCOR Group, Inc provides construction and facilities, building, and industrial services in the United States and the United Kingdom. It offers design, integration, installation, start-up, operation, and maintenance services related to power transmission, distribution, and generation systems; energy solutions; premises electrical and lighting systems; process instrumentation; low-voltage systems; voice and data communications systems; roadway and transit lighting, signaling, and fiber optic lines; computerized traffic control systems, and signal and communication equipment; heating, ventilation, air conditioning, refrigeration, and geothermal solutions; clean-room process ventilation systems; fire protection and suppression systems; plumbing, process, and high-purity piping systems; controls and filtration systems; water and wastewater treatment systems; central plant heating and cooling systems; crane and rigging services; millwright services; and steel fabrication, erection, and welding services.