Group 1: Company Overview - Construction Partners, Inc. (ROAD) shares increased by 13.4% to close at $84.70, driven by higher trading volume compared to typical sessions [1] - The company announced the acquisition of Asphalt Inc., LLC, which is expected to generate $530 million in revenues and $120 million in Adjusted EBITDA for fiscal 2025 [1] - Preliminary results for fiscal 2024 were announced alongside guidance for fiscal 2025 [1] Group 2: Earnings Expectations - Construction Partners is projected to report quarterly earnings of $0.67 per share, reflecting a year-over-year increase of 13.6% [2] - Expected revenues for the upcoming quarter are $559.7 million, representing a 17.8% increase from the same quarter last year [2] - The consensus EPS estimate for the quarter has remained unchanged over the last 30 days, indicating stability in earnings expectations [2] Group 3: Industry Context - Construction Partners operates within the Zacks Building Products - Miscellaneous industry, where Advanced Drainage Systems (WMS) is another player, having closed 1.7% lower at $154.68 [2] - Advanced Drainage's consensus EPS estimate is $1.93, showing a year-over-year change of 12.9% [3] - Advanced Drainage currently holds a Zacks Rank of 4 (Sell), contrasting with Construction Partners' Zacks Rank of 3 (Hold) [2][3]

Construction Partners, Inc. (ROAD) or CPI, entered into a definitive agreement to acquire Asphalt Inc., LLC, doing business as Lone Star Paving. Based in Austin, TX, Lone Star focuses on asphalt manufacturing and paving. The company operates in high-growth markets with 10 hot-mix asphalt plants, four aggregate facilities and one liquid asphalt terminal across central Texas.This acquisition is expected to enhance Construction Partners' earnings and contribute $530 million in revenues and $120 million in Adju ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Even though momentum is a popular stock cha ...

Shares of Construction Partners (ROAD) have been strong performers lately, with the stock up 9.1% over the past month. The stock hit a new 52-week high of $67.21 in the previous session. Construction Partners has gained 54.4% since the start of the year compared to the 20.2% move for the Zacks Construction sector and the 16.5% return for the Zacks Building Products - Miscellaneous industry. What's Driving the Outperformance? The stock has a great record of positive earnings surprises, as it hasn't missed ou ...

Company Performance - Construction Partners (ROAD) has returned approximately 32.5% year-to-date, outperforming the average gain of 13.7% for Construction stocks [4] - The Zacks Consensus Estimate for ROAD's full-year earnings has increased by 1.4% over the past quarter, indicating improved analyst sentiment and a stronger earnings outlook [3] - Construction Partners holds a Zacks Rank of 2 (Buy), suggesting favorable conditions for potential investors [3] Industry Context - Construction Partners is part of the Building Products - Miscellaneous industry, which includes 27 individual stocks and currently ranks 83 in the Zacks Industry Rank [6] - The average gain for the Building Products - Miscellaneous industry so far this year is 10%, indicating that ROAD is performing better in terms of year-to-date returns [6] - Another notable stock in the same industry, Latham Group (SWIM), has significantly outperformed with a year-to-date return of 119.8% [4][5] Sector Analysis - The Construction sector, which includes 91 individual stocks, currently holds a Zacks Sector Rank of 4, reflecting the average Zacks Rank of the stocks within the sector [2] - Investors are encouraged to monitor both Construction Partners and Latham Group for their potential to maintain solid performance in the future [7]

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task. By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. However, it's pretty easy to find cutting-edge growth stocks with th ...

Investors might want to bet on Construction Partners (ROAD) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change. A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years. I ...

Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. But finding a great growth stock is not easy at all. In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end. However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyon ...

Construction Partners, Inc. (ROAD) reported solid third-quarter fiscal 2024 (ended Jun 30, 2024) results, with earnings and revenues surpassing the Zacks Consensus Estimate and increased on a year-over-year basis. The company's quarterly result reflects a strong demand environment across more than 70 local markets in the Southeast. Owing to strong industry demand and favorable funding trends, the company raised its fiscal 2024 outlook. ROAD focuses on safely and efficiently building projects across six sout ...

Group 1 - Construction Partners reported quarterly earnings of $0.59 per share, exceeding the Zacks Consensus Estimate of $0.54 per share, and up from $0.41 per share a year ago, representing an earnings surprise of 9.26% [1] - The company achieved revenues of $517.79 million for the quarter ended June 2024, surpassing the Zacks Consensus Estimate by 2.95%, compared to $421.89 million in the same quarter last year [2] - Construction Partners has outperformed the S&P 500, with shares increasing approximately 34% since the beginning of the year, while the S&P 500 gained 11.5% [3] Group 2 - The earnings outlook for Construction Partners is uncertain, with current consensus EPS estimates at $0.72 for the coming quarter and $1.40 for the current fiscal year, with revenues expected to be $558.99 million and $1.83 billion respectively [7] - The Zacks Industry Rank indicates that the Building Products - Miscellaneous sector is in the bottom 42% of over 250 Zacks industries, suggesting potential underperformance compared to the top 50% of industries [8] - The estimate revisions trend for Construction Partners is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6]