Everus Construction Group, Inc. (ECG) AI Stock Analysis

• Market Cap: $4.76B
• Dividend Yield: N/A
• Average Volume (3M): 462.01K
• Price to Earnings (P/E): 27.8
• Beta (1Y): 2.06
• Revenue Growth: 28.20%
• EPS Growth: 24.27%
• Country: US
• Employees: 8,700
• Sector: Services
• Sector Strength: N/A
• Industry: Engineering & Construction
• EPS (TTM): 1.11
• Shares Outstanding: 51,006,577
• 10 Day Avg. Volume: 488,546
• 30 Day Avg. Volume: 462,012
• PEG Ratio: 5.24
• Price to Book (P/B): 7.93
• Price to Sales (P/S): 1.18
• P/FCF Ratio: 29.12
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 1.32
• Enterprise Value/Gross Profit: 10.89
• Enterprise Value/Ebitda: 16.83
• 1Y Price Target: $100.33
• Price Target Upside: 2.58% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 2.95
• Revenue Forecast (FY): $3.38B

• Rating: 74 Outperform
• Price Target: $97.00 ▼(-0.83% Downside)

Everus Construction Group, Inc. demonstrates strong financial performance and a positive outlook from its recent earnings call, which are the most significant factors driving the score. However, the stock's valuation appears stretched, and increased leverage poses some risks. Technical indicators show a generally positive trend, supporting the overall score.

Positive Factors

Revenue Growth

The substantial revenue growth indicates strong demand and effective project execution, positioning ECG well for sustained expansion in its core markets.

EBITDA Growth

Rising EBITDA and margin expansion reflect improved operational efficiency and profitability, enhancing ECG's financial health and competitive edge.

Backlog and Project Pipeline

A growing backlog signifies a robust pipeline of future projects, ensuring revenue visibility and long-term business stability for ECG.

Negative Factors

Increased Leverage

Higher leverage increases financial risk, potentially straining cash flow and limiting ECG's ability to invest in growth opportunities.

Declining Free Cash Flow

Reduced free cash flow limits ECG's financial flexibility and ability to fund new projects or return capital to shareholders.

Higher SG&A Expenses

Rising SG&A expenses can erode profit margins, potentially impacting ECG's ability to sustain profitability improvements over time.

Everus Construction Group, Inc. Business Overview & Revenue Model

Company Description

Everus Construction Group, Inc. (ECG) is a leading construction firm specializing in both commercial and residential projects, offering a comprehensive range of services including general contracting, project management, design-build solutions, and construction consulting. With a focus on sustainable building practices and innovative construction techniques, ECG aims to deliver high-quality results that meet client specifications across various sectors, including healthcare, education, and hospitality.

How the Company Makes Money

ECG generates revenue primarily through contract work, where it bids on and secures construction projects from various clients. The company's key revenue streams include fixed-price contracts, time-and-material contracts, and cost-plus contracts, allowing for flexibility in pricing based on project needs. Additionally, ECG benefits from strategic partnerships with suppliers and subcontractors, which help to reduce costs and improve project delivery timelines. The firm may also earn revenue through consulting services and value-added offerings, such as sustainability assessments and design services, further diversifying its income sources.

Everus Construction Group, Inc. Financial Statement Overview

Summary

Everus Construction Group, Inc. shows stable revenue and improved profitability with strong operational efficiency. However, increased leverage and declining free cash flow growth pose potential risks. Overall, the financial health is solid, but careful management of debt levels is necessary to sustain long-term growth.

Income Statement

The company shows a stable revenue trajectory with a marginal decline in 2024. Gross profit margin improved from 11.27% in 2023 to 11.91% in 2024, indicating better cost management. Net profit margin increased slightly from 4.81% to 5.03%, reflecting improved profitability. EBIT and EBITDA margins remained stable, demonstrating consistent operational efficiency.

Balance Sheet

The debt-to-equity ratio increased from 0.50 in 2023 to 0.86 in 2024, indicating higher leverage and potential risk. Return on equity declined from 30.57% to 33.93%, showing strong profitability relative to equity. The equity ratio decreased from 40.41% to 32.79%, reflecting a higher reliance on debt financing.

Cash Flow

Free cash flow declined from $135.75M in 2023 to $115.10M in 2024, indicating reduced cash generation. The operating cash flow to net income ratio was 1.14 in 2024, showing adequate cash flow relative to net income. However, capital expenditures increased, impacting free cash flow growth negatively.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	3.49B	2.85B	2.85B	2.70B
Gross Profit	422.84M	339.45M	321.92M	276.05M
EBITDA	273.63M	220.05M	207.51M	187.49M
Net Income	180.96M	143.42M	137.23M	124.78M
Balance Sheet
Total Assets	1.62B	1.29B	1.05B	1.14B
Cash, Cash Equivalents and Short-Term Investments	149.17M	86.01M	1.57M	2.11M
Total Debt	99.51M	363.20M	222.18M	305.22M
Total Liabilities	1.05B	865.85M	603.61M	753.34M
Stockholders Equity	573.05M	422.61M	448.85M	382.25M
Cash Flow
Free Cash Flow	135.59M	115.10M	135.75M	-61.34M
Operating Cash Flow	191.48M	163.38M	171.34M	-25.50M
Investing Cash Flow	-45.22M	-37.06M	-19.97M	-24.57M
Financing Cash Flow	2.35M	-41.87M	-151.91M	51.50M

Everus Construction Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 97.81
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ECG, the sentiment is Positive. The current price of 97.81 is above the 20-day moving average (MA) of 90.57, above the 50-day MA of 84.43, and above the 200-day MA of 63.14, indicating a bullish trend. The MACD of 2.94 indicates Negative momentum. The RSI at 62.54 is Neutral, neither overbought nor oversold. The STOCH value of 80.27 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ECG.

Everus Construction Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGX	77 Outperform	$4.49B	39.10	33.43%	0.52%	29.16%	163.46%
ECG	74 Outperform	$4.76B	27.76	35.26%	―	28.20%	24.27%
MYRG	74 Outperform	$3.62B	37.72	16.22%	―	-0.64%	168.51%
GVA	70 Outperform	$4.50B	34.36	16.87%	0.52%	6.87%	64.56%
PRIM	70 Outperform	$7.04B	25.76	18.56%	0.25%	21.45%	67.31%
TPC	63 Neutral	$3.55B	―	-2.31%	―	19.22%	78.83%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Everus Construction Group, Inc. Corporate Events

Everus Construction Reports Strong Q3, Raises 2025 Guidance

On November 4, 2025, Everus Construction Group reported a strong third quarter with revenues reaching $986.8 million, a 29.7% increase from the previous year, and net income rising by 36.4% to $57.0 million. The company raised its full-year guidance for 2025, expecting revenues between $3.55 billion and $3.65 billion, driven by robust project execution and growth in the E&M segment, particularly in the data center submarket. The company’s backlog increased to $2.95 billion, reflecting healthy bidding activity and strong market positioning, while maintaining a solid financial position with ample liquidity for future growth initiatives.

The most recent analyst rating on (ECG) stock is a Buy with a $87.00 price target. To see the full list of analyst forecasts on Everus Construction Group, Inc. stock, see the ECG Stock Forecast page.

Everus Construction Group’s Q2 2025 Earnings Call Highlights

Everus Construction Group, Inc. Reports Strong Q2 2025 Performance Amid Growth Concerns

Everus Construction Group Reports Strong Q2 2025 Results

Everus Construction Group, Inc., a member of the S&P SmallCap 600 index, specializes in providing a comprehensive range of construction services, focusing on electrical and mechanical, as well as transmission and distribution specialty contracting services across the United States. The company caters to various sectors including commercial, industrial, institutional, renewables, utility, and transportation markets.

Everus Construction Reports Strong Q2 2025 Performance

On August 12, 2025, Everus Construction Group reported a strong financial performance for the second quarter of 2025, with revenues increasing by 31% to $921.5 million and net income rising by 35.4% to $52.8 million compared to the same period in 2024. The company also raised its full-year guidance for 2025, expecting revenues between $3.3 billion and $3.4 billion and EBITDA between $240 million and $255 million, driven by continued end-market momentum, project execution, and a robust backlog of $3.0 billion.

The most recent analyst rating on (ECG) stock is a Buy with a $70.00 price target. To see the full list of analyst forecasts on Everus Construction Group, Inc. stock, see the ECG Stock Forecast page.