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

• Market Cap: $4.54B
• Dividend Yield: N/A
• Average Volume (3M): 552.47K
• Price to Earnings (P/E): 25.1
• Beta (1Y): 2.08
• 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: 625,828
• 30 Day Avg. Volume: 552,469
• 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: 1.01
• Enterprise Value/Revenue: 1.32
• Enterprise Value/Gross Profit: 10.89
• Enterprise Value/Ebitda: 16.28
• 1Y Price Target: $100.33
• Price Target Upside: 12.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 3.61
• Revenue Forecast (FY): $3.60B

• Rating: 72 Outperform
• Price Target: $98.00 ▲(10.08% Upside)

Everus Construction Group's overall stock score is driven by strong financial performance and a positive earnings call, highlighting significant growth and raised guidance. However, technical indicators suggest potential short-term weakness, and the stock's valuation appears moderately high. The company's increased leverage and declining free cash flow growth are potential risks that need to be managed carefully.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong market demand and effective project execution, supporting long-term business expansion.

Backlog and Pipeline

A growing backlog reflects a healthy pipeline of future projects, ensuring sustained revenue streams and market presence.

EBITDA Growth

Strong EBITDA growth and margin expansion demonstrate improved operational efficiency and profitability, enhancing financial stability.

Negative Factors

Increased Leverage

Higher leverage can increase financial risk and limit flexibility, potentially impacting long-term financial health and investment capacity.

Declining Free Cash Flow

Reduced free cash flow limits the company's ability to reinvest in growth opportunities and manage debt, affecting future financial resilience.

Higher SG&A Expenses

Increased SG&A expenses can offset revenue growth and efficiency gains, potentially impacting profitability and operational margins.

Everus Construction Group, Inc. Business Overview & Revenue Model

Company Description

Everus Construction Group, Inc. provides utility construction services. It offers electrical line construction, pipeline construction, inside electrical wiring and cabling, and mechanical services. The company also involves in the manufacture and distribution of specialty equipment, and electrical control panel; and installation and maintenance of automatic fire sprinkler systems in Las Vegas and Reno. The company was incorporated in 1995 and is based in Bismarck, North Dakota.

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	282.91M	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: 89.03
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 89.03 is below the 20-day moving average (MA) of 90.39, below the 50-day MA of 90.44, and above the 200-day MA of 68.25, indicating a neutral trend. The MACD of -0.35 indicates Positive momentum. The RSI at 48.55 is Neutral, neither overbought nor oversold. The STOCH value of 18.98 is Positive, 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
MYRG	76 Outperform	$3.43B	35.73	16.22%	―	-0.64%	168.51%
PRIM	75 Outperform	$6.76B	24.74	18.56%	0.26%	21.45%	67.31%
AGX	73 Outperform	$4.52B	38.37	32.05%	0.49%	13.49%	77.73%
ECG	72 Outperform	$4.54B	25.13	35.26%	―	28.20%	24.27%
GVA	70 Outperform	$5.04B	33.93	16.87%	0.45%	6.87%	64.56%
TPC	65 Neutral	$3.69B	-128.94	-2.31%	0.09%	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.