Nucor earnings beat by $0.08, revenue fell short of estimates
PALM BEACH GARDENS, Fla. - Dycom Industries, Inc. (NYSE:DY), a leading provider of specialty contracting services with a market capitalization of nearly $5 billion, has launched a new $150 million share repurchase initiative, the company announced Today. According to InvestingPro data, the company maintains a strong financial position with liquid assets exceeding short-term obligations, as evidenced by a healthy current ratio of 3.12. This authorization by the Board of Directors enables Dycom to buy back shares of its outstanding common stock over the subsequent 18 months through open market or privately negotiated transactions, which may include a Rule 10b5-1 trading plan.
The timing and volume of the repurchases will be contingent on market conditions and other influencing factors. Dycom has clarified that the program does not compel the company to purchase any specific number of shares and can be halted or terminated at any time at the company’s discretion.
This new repurchase program supersedes the previous $150 million program, from which approximately $55 million was yet to be utilized. As of February 25, 2025, Dycom reported having 28,979,138 shares of common stock outstanding, a figure that excludes the potential dilutive effect of stock options and unvested restricted stock. The stock currently trades near its InvestingPro Fair Value, with analysts setting price targets between $210 and $229 per share.
Dycom’s services span across the United States, providing program management, engineering, construction, maintenance, and fulfillment services primarily to the telecommunications infrastructure and utility industries. The company has demonstrated strong operational performance, generating annual revenue of $4.57 billion with a gross profit margin of 19.6%. InvestingPro analysis reveals 8 additional key insights about Dycom’s performance and potential, available in the comprehensive Pro Research Report. The company also offers locating services for various underground utilities and extends construction and maintenance services to electric and gas utilities.
The press release includes forward-looking statements that involve known and unknown risks, uncertainties, and other factors that could cause actual results to differ materially from those projected. Dycom does not assume any obligation to update these forward-looking statements, which are based on management’s current expectations and are subject to change.
The announcement of the stock repurchase program is based on a press release statement and reflects the company’s financial strategies rather than an endorsement of its future performance.
In other recent news, Dycom Industries has been the focus of significant attention following the release of its fourth fiscal quarter earnings report. Analysts from Raymond (NSE:RYMD) James have lifted their price target for Dycom to $215, citing positive impacts from recent snowfall data, which is expected to boost the company’s performance. DA Davidson also reiterated a Buy rating with a $220 price target, adjusting their financial model to account for stock compensation expenses due to a CEO transition. Meanwhile, BofA Securities maintained a Buy rating with a $210 target, despite a short-seller report from Spruce Point Capital that raised concerns about Dycom’s financial practices and sector exposure.
Raymond James analyst Frank Louthan IV countered the short-seller’s claims, emphasizing customer consolidation as a positive factor and defending Dycom’s operational practices. Louthan also addressed concerns about Dycom’s financial metrics, such as Days Sales Outstanding and revenue multiples, suggesting that these issues were misrepresented in the short report. Despite the negative attention from the short-seller, analysts like DA Davidson and Raymond James continue to express confidence in Dycom’s business model and future prospects. Investors are closely watching the situation, especially with Dycom’s upcoming earnings call expected to shed more light on the company’s financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.