Raytheon awarded $71 million in Navy contracts for missile systems
On Friday, Stifel analysts increased their price target on Everus (NYSE: ECG) shares to $70 from the previous $55, while maintaining a Buy rating on the stock. The adjustment follows Everus’s first quarter results for 2025, which surpassed expectations, particularly due to robust performance in the Engineering and Manufacturing (E&M) sector, with a notable contribution from data centers.
Despite a 2% year-over-year decline in Transmission and Distribution (T&D) revenue, attributed to weather-related impacts, Everus demonstrated significant growth in other areas. The company’s total backlog expanded by 41% compared to the same period last year, and new awards also saw a 40% year-over-year increase. This growth indicates a solid pipeline of future revenue for Everus.
The company has confidently addressed concerns regarding cost pressures from tariffs, reassuring investors of their management strategies. Furthermore, Everus has reiterated its financial guidance for the year 2025, signaling stability in its business outlook. Stifel’s analyst noted that Everus’s decision not to raise guidance after the first quarter is consistent with its historical approach, rather than a sign of any significant demand worries for the rest of the year.
Historically, the first quarter has typically represented approximately 20% of Everus’s full-year EBITDA, based on a five-year average. With the current strength of the company’s backlog and the implication of steady revenue for the remainder of the year at the mid-point of guidance, there is an anticipation that buy-side expectations might exceed the upper range of the existing 2025 forecasts. Trading at a P/E ratio of 20.24x, investors seeking deeper insights can access comprehensive analysis and 12 additional ProTips through InvestingPro, including detailed metrics on the company’s financial health and growth potential.
In other recent news, Everus Construction Group Inc. reported impressive financial results for Q1 2025, with earnings per share (EPS) of $0.72, exceeding market expectations. The company achieved a revenue of $826.6 million, marking a 32% increase compared to the previous year. This strong performance was driven by a significant rise in revenue from their Electrical and Mechanical (E&M) segment, which grew by 47%. The company’s backlog also saw a notable increase of 41% year-over-year, indicating robust future demand. Additionally, Everus Construction has been expanding its capabilities with the acquisition of a new prefabrication facility in Kansas City. In terms of analyst actions, there were no specific upgrades or downgrades mentioned, but the company continues to emphasize its strategic positioning and growth potential. With a focus on sectors like data centers and semiconductor manufacturing, Everus Construction aims to capitalize on favorable market trends. These developments reflect the company’s ongoing efforts to strengthen its market position and enhance shareholder value.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.