ROAD Stock Analysis: Construction | NASDAQ
Engineering & Construction | NASDAQ, USA | Market Cap: 6.101m USD | 12M Return: 0.9% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 78.8M
EPS Trend: 90.0%
Qual. Beats: 2
Rev. Trend: 97.8%
Qual. Beats: 2
Warnings
Tailwinds
No distinct edge detected
Seasonality 8.1 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Construction Partners, Inc. (NASDAQ: ROAD) is a civil infrastructure company that builds and maintains roadways across eight Sun Belt states: Alabama, Florida, Georgia, North Carolina, Oklahoma, South Carolina, Tennessee, and Texas. Its work spans highways, roads, bridges, airports, and commercial and residential site development, serving both public and private sector clients. The company is vertically integrated, handling paving activities, hot mix asphalt (HMA) manufacturing, liquid asphalt cement distribution, site development including utility and drainage installation, and aggregate mining (sand, gravel, and construction stone) used as raw inputs for HMA production.
The company was incorporated in 2007 and is headquartered in Dothan, Alabama, having rebranded from SunTx CPI Growth Company, Inc. in September 2017. As a vertically integrated civil contractor, it controls key inputs like aggregates and HMA production, which is a common strategy in the road construction industry used to manage material costs and supply reliability. Its geographic focus on high-growth Sun Belt states positions it in regions with sustained infrastructure spending tied to population expansion and transportation needs.
- Sun Belt population growth fuels multi-state highway project demand
- IIJA federal funding accelerates state DOT awards across footprint
- Bolt-on acquisitions drive geographic expansion and margin improvement
| Net Income: 127.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 0.98 > 1.0 |
| NWC/Revenue: 9.15% < 20% (prev 9.86%; Δ -0.71% < -1%) |
| CFO/TA 0.10 > 3% & CFO 342.8m > Net Income 127.0m |
| Net Debt (1.86b) to EBITDA (393.2m): 4.74 < 3 |
| Current Ratio: 1.53 > 1.5 & < 3 |
| Outstanding Shares: last quarter (56.3m) vs 12m ago 1.05% < -2% |
| Gross Margin: 15.74% > 18% (prev 14.41%; Δ 1.33% > 0.5%) |
| Asset Turnover: 105.2% > 50% (prev 79.50%; Δ 25.72% > 0%) |
| Interest Coverage Ratio: 2.11 > 6 (EBIT TTM 222.0m / Interest Expense TTM 105.5m) |
| A: 0.09 (Total Current Assets 862.4m - Total Current Liabilities 564.3m) / Total Assets 3.44b |
| B: 0.13 (Retained Earnings 443.4m / Total Assets 3.44b) |
| C: 0.07 (EBIT TTM 222.0m / Avg Total Assets 3.10b) |
| D: 0.40 (Book Value of Equity 979.4m / Total Liabilities 2.46b) |
| Altman-Z'' = 1.89 = BBB |
| DSRI: 0.86 (Receivables 580.4m/455.7m, Revenue 3.26b/2.19b) |
| GMI: 0.92 (GM 14.41% / 15.74%) |
| AQI: 1.13 (AQ_t 0.35 / AQ_t-1 0.31) |
| SGI: 1.49 (Revenue 3.26b / 2.19b) |
| TATA: -0.06 (NI 127.0m - CFO 342.8m) / TA 3.44b) |
| Beneish M = -2.80 (Cap -4..+1) = A |
As of July 07, 2026, the stock is trading at USD 108.09 with a total of 505,823 shares traded. Over the past week, the price has changed by -12.03%, over one month by +1.62%, over three months by -0.73% and over the past year by +0.87%.
Current recommended Stop Loss: 99.10 (which is 8.3% or 1.3 ATR below the current price).
Construction has received a consensus analysts rating of 4.20. Therefore, it is recommended to buy ROAD.
- StrongBuy: 3
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 146.6 | 35.6% |
P/E Trailing = 47.1266
P/E Forward = 26.178
P/S = 1.8728
P/B = 6.2291
P/EG = 1.5675
Revenue TTM = 3.26b USD
EBIT TTM = 222.0m USD
EBITDA TTM = 393.2m USD
Long Term Debt = 1.71b USD (from longTermDebt, last quarter)
Short Term Debt = 65.3m USD (from shortTermDebt, last quarter)
Debt = 1.94b USD (from shortLongTermDebtTotal, last quarter) + Leases 96.3m
Net Debt = 1.86b USD (calculated: Debt 1.94b - CCE 77.0m)
Enterprise Value = 7.97b USD (6.10b + Debt 1.94b - CCE 77.0m)
Interest Coverage Ratio = 2.11 (Ebit TTM 222.0m / Interest Expense TTM 105.5m)
EV/FCF = 41.63x (Enterprise Value 7.97b / FCF TTM 191.3m)
FCF Yield = 2.40% (FCF TTM 191.3m / Enterprise Value 7.97b)
FCF Margin = 5.87% (FCF TTM 191.3m / Revenue TTM 3.26b)
Net Margin = 3.90% (Net Income TTM 127.0m / Revenue TTM 3.26b)
Gross Margin = 15.74% ((Revenue TTM 3.26b - Cost of Revenue TTM 2.74b) / Revenue TTM)
Gross Margin QoQ = 13.03% (prev 15.01%)
Tobins Q-Ratio = 2.32 (Enterprise Value 7.97b / Total Assets 3.44b)
Interest Expense / Debt = 5.43% (Interest Expense 105.5m / Debt 1.94b)
Taxrate = 24.29% (40.8m / 167.8m)
NOPAT = 168.1m (EBIT 222.0m * (1 - 24.29%))
Current Ratio = 1.53 (Total Current Assets 862.4m / Total Current Liabilities 564.3m)
Debt / Equity = 1.98 (Debt 1.94b / totalStockholderEquity, last quarter 979.4m)
Debt / EBITDA = 4.74 (Net Debt 1.86b / EBITDA 393.2m)
Debt / FCF = 9.75 (Net Debt 1.86b / FCF TTM 191.3m)
Total Stockholder Equity = 928.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 4.10% (Net Income 127.0m / Total Assets 3.44b)
RoE = 13.68% (Net Income TTM 127.0m / Total Stockholder Equity 928.5m)
RoCE = 8.41% (EBIT 222.0m / Capital Employed (Equity 928.5m + L.T.Debt 1.71b))
RoIC = 5.87% (NOPAT 168.1m / Invested Capital 2.86b)
WACC = 9.72% (E(6.10b)/V(8.04b) * Re(11.50%) + D(1.94b)/V(8.04b) * Rd(5.43%) * (1-Tc(0.24)))
Discount Rate = 11.50% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 86.67 | Cagr: 3.18%
[DCF] Terminal Value 73.68% ; FCFF base≈165.3m ; Y1≈189.5m ; Y5≈278.8m
[DCF] Fair Price = 31.60 (EV 3.38b - Net Debt 1.86b = Equity 1.52b / Shares 48.0m; r=9.72% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 90.01 | EPS CAGR: 48.70% | SUE: 1.89 | # QB: 2
Revenue Correlation: 97.75 | Revenue CAGR: 34.61% | SUE: 3.63 | # QB: 2
EPS current Quarter (2026-06-30): EPS=1.06 | Chg30d=-2.29% | Revisions=-29% | Analysts=6
EPS current Year (2026-09-30): EPS=3.02 | Chg30d=+0.10% | Revisions=+62% | GrowthEPS=+37.3% | GrowthRev=+28.7%
EPS next Year (2027-09-30): EPS=3.82 | Chg30d=-1.04% | Revisions=+38% | GrowthEPS=+26.3% | GrowthRev=+11.1%
[Analyst] Revisions Ratio: +35% (up=10, down=4)