MYR Group Q3 revenue rises on C&I segment strength 

Overview

• US specialty electrical contractor's Q3 revenue rose yr/yr, beating analyst expectations

• Company posted record Q3 net income and EPS

• Company announced new $100 mln share repurchase program

• Co reported Q3 record backlog of $3.68 bln

Outlook

• Company did not provide specific financial guidance for upcoming quarters or full year in its press release

Result Drivers

• ACQUISITIONS - Higher C&I segment revenue driven by fixed price contracts and incremental revenue from Valley Electric and Comet Electric acquisitions

• PROJECT EXECUTION - Gross margin rose due to better-than-anticipated productivity and favorable job close outs

• T&D CONTRACT GROWTH - T&D segment revenue increased on higher T&E, fixed price, and unit price contracts

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction & engineering peer group is "buy"

• Wall Street's median 12-month price target for MYR Group Inc is $384.00, about 44% above its October 27 closing price of $266.64

• The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 42 three months ago

Reuters Recommended Reads

• Oct 27 - Boeing Q3 revenue beats estimates on defense volumes

• Oct 28 - Specialized equipment maker Terex Q3 sales beat on higher shipment volumes

• Oct 27 - Logistics firm Landstar System's Q3 revenue rises 25%, beats estimates

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)