Dycom Industries (NYSE:DY) Stock Falls 4.3% – Should You Sell?

Dycom Industries, Inc. (NYSE:DY) shares were down 4.3% on Wednesday. The company traded as low as $239.16 and last traded at $241.1650. 70,570 shares were traded during mid-day trading, a decline of 86% from the average session volume of 516,689 shares. The stock had previously closed at $252.00.

Wall Street Analyst Weigh In

Several equities analysts have issued reports on the stock. Guggenheim restated a “buy” rating and issued a $620.00 price objective on shares of Dycom Industries in a research note on Thursday, September 17th. Zacks Research cut Dycom Industries from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 27th. JPMorgan Chase & Co. reduced their target price on Dycom Industries from $650.00 to $570.00 and set an “overweight” rating for the company in a report on Thursday, August 27th. Raymond James Financial set a $375.00 target price on Dycom Industries in a research report on Thursday, September 3rd. Finally, Weiss Ratings downgraded Dycom Industries from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, September 18th. Ten equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $502.92.

Dycom Industries Stock Performance

The firm’s 50-day moving average is $298.67 and its 200 day moving average is $385.35. The stock has a market cap of $6.77 billion, a PE ratio of 15.45, a P/E/G ratio of 0.40 and a beta of 1.50. The company has a debt-to-equity ratio of 1.35, a quick ratio of 2.24 and a current ratio of 2.35.

Dycom Industries (NYSE:DY) last issued its quarterly earnings results on Wednesday, August 26th. The construction company reported $5.29 earnings per share for the quarter, topping analysts’ consensus estimates of $4.72 by $0.57. The firm had revenue of $2.01 billion during the quarter, compared to analysts’ expectations of $1.98 billion. Dycom Industries had a net margin of 4.79% and a return on equity of 25.30%. Dycom Industries’s quarterly revenue was up 45.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $3.33 EPS. Dycom Industries has set its Q3 2027 guidance at 4.330-4.790 EPS. As a group, research analysts anticipate that Dycom Industries, Inc. will post 16.06 EPS for the current year.

Dycom Industries declared that its board has initiated a share buyback program on Wednesday, August 26th that authorizes the company to buy back $150.00 million in outstanding shares. This buyback authorization authorizes the construction company to reacquire up to 1.4% of its shares through open market purchases. Share buyback programs are typically an indication that the company’s board believes its shares are undervalued.

Insider Transactions at Dycom Industries

In related news, Director Carmen Sabater purchased 350 shares of the company’s stock in a transaction that occurred on Wednesday, September 23rd. The shares were purchased at an average price of $280.62 per share, for a total transaction of $98,217.00. Following the transaction, the director directly owned 7,154 shares of the company’s stock, valued at approximately $2,007,555.48. The trade was a 5.14% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director David Fallon acquired 700 shares of the firm’s stock in a transaction on Tuesday, September 1st. The shares were bought at an average cost of $286.92 per share, with a total value of $200,844.00. Following the completion of the transaction, the director directly owned 1,043 shares in the company, valued at $299,257.56. This trade represents a 204.08% increase in their position. The disclosure for this purchase is available in the SEC filing. Company insiders own 1.22% of the company’s stock.

Institutional Investors Weigh In On Dycom Industries

Several hedge funds have recently modified their holdings of DY. Root Financial Partners LLC purchased a new position in Dycom Industries in the 3rd quarter valued at $31,000. Allworth Financial LP purchased a new position in Dycom Industries during the 2nd quarter worth $35,000. Legacy Wealth Managment LLC ID raised its position in Dycom Industries by 30.4% during the 1st quarter. Legacy Wealth Managment LLC ID now owns 150 shares of the construction company’s stock worth $51,000 after buying an additional 35 shares during the last quarter. Harbor Investment Advisory LLC acquired a new stake in shares of Dycom Industries in the 2nd quarter worth $52,000. Finally, Continuum Advisory LLC acquired a new stake in shares of Dycom Industries in the 2nd quarter worth $59,000. 98.33% of the stock is owned by institutional investors and hedge funds.

Dycom Industries Company Profile

Dycom Industries, Inc is a specialty contracting company that provides infrastructure services to telecommunications providers, utilities, cable and broadband companies, and government agencies. Headquartered in Palm Beach Gardens, Florida, the company operates primarily across the United States.

Its services include engineering, construction, installation, maintenance, and repair of telecommunications infrastructure. Dycom supports the deployment of fiber-optic networks, broadband systems, wireless networks, underground and aerial lines, and other communications facilities.