EMCOR Group (NYSE:EME) Hits New 1-Year High After Earnings Beat

EMCOR Group, Inc. (NYSE:EME) has achieved a remarkable milestone by reaching a new 52-week high on Thursday, following an announcement of quarterly earnings that surpassed expectations. The stock hit a peak price of $456.76 before closing at $449.76, with a trading volume of 123,086 shares. In comparison, the stock closed at $431.77 the previous day.

The construction firm reported an earnings per share (EPS) of $5.80 for the quarter, exceeding analysts' projections of $4.98 by $0.82. Revenue for the quarter stood at $3.70 billion, which was slightly below the expected $3.77 billion. Notably, EMCOR Group demonstrated a net margin of 6.01% and a return on equity (ROE) of 32.73%. Additionally, the company’s revenues increased by 15.3% compared to the same quarter in the previous year, where it recorded an EPS of $3.61.

Dividend Announcement

In conjunction with its earnings announcement, EMCOR Group also declared a quarterly dividend. This dividend, amounting to $0.25 per share, was distributed to shareholders on October 30th, rewarding those who held shares as of October 15th. This results in an annualized dividend of $1.00 and provides a yield of 0.22%. The ex-dividend date for the stock was also on October 15th, and the company's dividend payout ratio stands at 6.60%.

Changes in Analyst Ratings

Recent research has focused on EMCOR Group, leading to a series of upgrades in their ratings. On October 9th, StockNews.com elevated the stock's rating from “buy” to “strong-buy.” Additionally, DA Davidson raised its price target for EMCOR Group from $410.00 to $430.00 while maintaining a “buy” rating.

Institutional Trading Activity

In recent months, various hedge funds and institutional investors have modified their positions in EMCOR Group. Burgundy Asset Management Ltd. amplified its stake by 1.7%, now holding 691,381 shares valued at $242.12 million after acquiring 11,479 more shares. Likewise, Acadian Asset Management LLC increased its ownership by 34.4% in the second quarter, bringing its total to 526,044 shares worth $192.03 million after a purchase of 134,575 shares. AQR Capital Management LLC also raised its stake by 27.5%, owning 412,382 shares now valued at $150.55 million.

Moreover, Allspring Global Investments Holdings LLC expanded its position by 4.3% in the third quarter, accumulating 354,045 shares worth $152.43 million after securing 14,447 additional shares. Finally, Renaissance Technologies LLC nearly doubled its stake by 99.2% in the second quarter, owning 233,500 shares valued at $85.25 million after procuring 116,300 shares. Collectively, institutional investors now control approximately 92.59% of EMCOR Group's shares.

EMCOR Group Stock Performance Metrics

As of now, EMCOR Group has a market capitalization of $21.29 billion and a price-to-earnings (P/E) ratio of 28.48. Additionally, the stock has a beta of 1.07, indicating its volatility. The simple moving averages stand at $415.78 over the last 50 days and $385.33 over the past 200 days.

About EMCOR Group

EMCOR Group, Inc. specializes in providing construction and facilities services, as well as industrial services across the United States and the United Kingdom. Their offerings include design, installation, operation, and maintenance services for various systems such as power transmission, energy solutions, electrical systems, heating and cooling, fire protection, plumbing, and more.

EMCOR, Earnings, Stocks