StockNews.com Lowers EMCOR Group (NYSE:EME) to Buy

StockNews.com downgraded shares of EMCOR Group (NYSE:EME) from a strong-buy rating to a buy rating in a research note released on Friday.

Separately, DA Davidson increased their price target on EMCOR Group from $410.00 to $430.00 and gave the stock a buy rating in a report on Friday, July 26th.

EMCOR Group Stock Performance

EME opened at $435.45 on Friday. The company has a fifty day moving average price of $374.20 and a two-hundred day moving average price of $367.46. The firm has a market capitalization of $20.46 billion, a PE ratio of 28.72 and a beta of 1.07. EMCOR Group has a 52 week low of $191.50 and a 52 week high of $441.89.

EMCOR Group (NYSE:EME) last announced its quarterly earnings data on Thursday, July 25th. The construction company reported $5.25 EPS for the quarter, topping analysts’ consensus estimates of $3.76 by $1.49. The business had revenue of $3.67 billion during the quarter, compared to analysts’ expectations of $3.52 billion. EMCOR Group had a return on equity of 32.73% and a net margin of 6.01%. The firm’s quarterly revenue was up 20.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $2.95 earnings per share. Equities analysts forecast that EMCOR Group will post 19.5 EPS for the current year.

EMCOR Group declared that its board has initiated a share buyback program on Friday, June 7th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the construction company to repurchase up to 2.8% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board believes its shares are undervalued.

EMCOR Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, July 30th. Investors of record on Monday, July 15th were issued a dividend of $0.25 per share. The ex-dividend date was Monday, July 15th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 0.23%. EMCOR Group’s payout ratio is 6.60%.

Insider Buying and Selling at EMCOR Group

In other news, Director Robin A. Walker-Lee sold 1,300 shares of the company’s stock in a transaction that occurred on Monday, July 29th. The stock was sold at an average price of $370.79, for a total transaction of $482,027.00. Following the sale, the director now owns 8,637 shares in the company, valued at approximately $3,202,513.23. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Company insiders own 1.26% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the company. Matrix Trust Co bought a new stake in shares of EMCOR Group during the 2nd quarter worth about $26,000. Proffitt & Goodson Inc. acquired a new position in shares of EMCOR Group in the second quarter valued at approximately $27,000. Innealta Capital LLC bought a new position in shares of EMCOR Group during the second quarter worth approximately $29,000. ORG Partners LLC acquired a new stake in EMCOR Group during the 2nd quarter worth approximately $31,000. Finally, Independence Bank of Kentucky bought a new stake in EMCOR Group in the 1st quarter valued at $33,000. 92.59% of the stock is currently owned by institutional investors and hedge funds.

About EMCOR Group

EMCOR Group, Inc provides construction and facilities, building, and industrial services in the United States and the United Kingdom. It offers design, integration, installation, start-up, operation, and maintenance services related to power transmission, distribution, and generation systems; energy solutions; premises electrical and lighting systems; process instrumentation; low-voltage systems; voice and data communications systems; roadway and transit lighting, signaling, and fiber optic lines; computerized traffic control systems, and signal and communication equipment; heating, ventilation, air conditioning, refrigeration, and geothermal solutions; clean-room process ventilation systems; fire protection and suppression systems; plumbing, process, and high-purity piping systems; controls and filtration systems; water and wastewater treatment systems; central plant heating and cooling systems; crane and rigging services; millwright services; and steel fabrication, erection, and welding services.