(ROAD) Construction Partners - Overview
Stock: Asphalt, Aggregates, Paving, Site Development
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 42.2% |
| Relative Tail Risk | -2.56% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.03 |
| Alpha | 38.83 |
| Character TTM | |
|---|---|
| Beta | 1.220 |
| Beta Downside | 0.934 |
| Drawdowns 3y | |
|---|---|
| Max DD | 33.62% |
| CAGR/Max DD | 2.06 |
Description: ROAD Construction Partners January 09, 2026
Construction Partners, Inc. (NASDAQ: ROAD) is a civil-infrastructure contractor operating in eight southeastern and south-central states, where it builds and maintains highways, bridges, airports, and related commercial and residential projects. The firm also produces and sells hot-mix asphalt (HMA), mines aggregates (sand, gravel, stone), and distributes liquid asphalt cement, supporting both its own paving work and third-party customers.
Key operating metrics from the most recent 10-K (FY 2023) show revenue of $1.12 billion, a year-over-year growth of 9 % driven largely by increased state-level highway funding, and an average gross margin of 19 %-above the industry median of ~16 % due to its vertically integrated asphalt supply chain. The backlog at year-end stood at $560 million, indicating roughly 5-month revenue visibility, while the company’s debt-to-EBITDA ratio is 2.3×, reflecting moderate leverage in a capital-intensive sector. Macro-drivers include the U.S. Infrastructure Investment and Jobs Act, which is expected to boost federal and state road-spending by 4-5 % annually through 2027, and volatile aggregate commodity prices that can compress margins for non-integrated peers.
For a deeper quantitative view, the ValueRay platform offers a granular breakdown of ROAD’s financials and peer comparisons.
Piotroski VR‑10 (Strict, 0-10) 2.5
| Net Income: 101.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -3.12 > 1.0 |
| NWC/Revenue: 12.54% < 20% (prev 11.22%; Δ 1.33% < -1%) |
| CFO/TA 0.09 > 3% & CFO 291.3m > Net Income 101.8m |
| Net Debt (1.53b) to EBITDA (379.1m): 4.04 < 3 |
| Current Ratio: 1.61 > 1.5 & < 3 |
| Outstanding Shares: last quarter (55.8m) vs 12m ago 6.16% < -2% |
| Gross Margin: 15.61% > 18% (prev 0.14%; Δ 1547 % > 0.5%) |
| Asset Turnover: 117.6% > 50% (prev 118.3%; Δ -0.62% > 0%) |
| Interest Coverage Ratio: 2.40 > 6 (EBITDA TTM 379.1m / Interest Expense TTM 96.3m) |
Altman Z'' 1.97
| A: 0.11 (Total Current Assets 934.8m - Total Current Liabilities 582.0m) / Total Assets 3.24b |
| B: 0.13 (Retained Earnings 417.0m / Total Assets 3.24b) |
| C: 0.10 (EBIT TTM 230.8m / Avg Total Assets 2.39b) |
| D: 0.18 (Book Value of Equity 421.4m / Total Liabilities 2.33b) |
| Altman-Z'' Score: 1.97 = BBB |
Beneish M -2.30
| DSRI: 1.02 (Receivables 595.2m/376.8m, Revenue 2.81b/1.82b) |
| GMI: 0.91 (GM 15.61% / 14.17%) |
| AQI: 1.77 (AQ_t 0.33 / AQ_t-1 0.19) |
| SGI: 1.54 (Revenue 2.81b / 1.82b) |
| TATA: -0.06 (NI 101.8m - CFO 291.3m) / TA 3.24b) |
| Beneish M-Score: -2.30 (Cap -4..+1) = BBB |
What is the price of ROAD shares?
Over the past week, the price has changed by +15.63%, over one month by +10.16%, over three months by +12.59% and over the past year by +50.41%.
Is ROAD a buy, sell or hold?
- StrongBuy: 3
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the ROAD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 131.9 | 3.8% |
| Analysts Target Price | 131.9 | 3.8% |
| ValueRay Target Price | 194 | 52.7% |
ROAD Fundamental Data Overview February 07, 2026
P/E Forward = 39.6825
P/S = 2.5657
P/B = 7.1186
Revenue TTM = 2.81b USD
EBIT TTM = 230.8m USD
EBITDA TTM = 379.1m USD
Long Term Debt = 1.57b USD (from longTermDebt, last quarter)
Short Term Debt = 58.4m USD (from shortTermDebt, last quarter)
Debt = 1.69b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.53b USD (from netDebt column, last quarter)
Enterprise Value = 8.75b USD (7.22b + Debt 1.69b - CCE 159.0m)
Interest Coverage Ratio = 2.40 (Ebit TTM 230.8m / Interest Expense TTM 96.3m)
EV/FCF = 57.02x (Enterprise Value 8.75b / FCF TTM 153.4m)
FCF Yield = 1.75% (FCF TTM 153.4m / Enterprise Value 8.75b)
FCF Margin = 5.45% (FCF TTM 153.4m / Revenue TTM 2.81b)
Net Margin = 3.62% (Net Income TTM 101.8m / Revenue TTM 2.81b)
Gross Margin = 15.61% ((Revenue TTM 2.81b - Cost of Revenue TTM 2.37b) / Revenue TTM)
Gross Margin QoQ = 17.71% (prev 16.91%)
Tobins Q-Ratio = 2.70 (Enterprise Value 8.75b / Total Assets 3.24b)
Interest Expense / Debt = 1.50% (Interest Expense 25.4m / Debt 1.69b)
Taxrate = 24.53% (18.4m / 75.0m)
NOPAT = 174.2m (EBIT 230.8m * (1 - 24.53%))
Current Ratio = 1.61 (Total Current Assets 934.8m / Total Current Liabilities 582.0m)
Debt / Equity = 1.85 (Debt 1.69b / totalStockholderEquity, last quarter 912.0m)
Debt / EBITDA = 4.04 (Net Debt 1.53b / EBITDA 379.1m)
Debt / FCF = 9.98 (Net Debt 1.53b / FCF TTM 153.4m)
Total Stockholder Equity = 846.1m (last 4 quarters mean from totalStockholderEquity)
RoA = 4.26% (Net Income 101.8m / Total Assets 3.24b)
RoE = 12.03% (Net Income TTM 101.8m / Total Stockholder Equity 846.1m)
RoCE = 9.54% (EBIT 230.8m / Capital Employed (Equity 846.1m + L.T.Debt 1.57b))
RoIC = 7.74% (NOPAT 174.2m / Invested Capital 2.25b)
WACC = 8.65% (E(7.22b)/V(8.90b) * Re(10.41%) + D(1.69b)/V(8.90b) * Rd(1.50%) * (1-Tc(0.25)))
Discount Rate = 10.41% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 3.19%
[DCF Debug] Terminal Value 79.17% ; FCFF base≈140.5m ; Y1≈173.3m ; Y5≈295.1m
Fair Price DCF = 59.95 (EV 4.41b - Net Debt 1.53b = Equity 2.88b / Shares 48.0m; r=8.65% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: 61.60 | EPS CAGR: 140.9% | SUE: 3.19 | # QB: 1
Revenue Correlation: 90.84 | Revenue CAGR: 35.88% | SUE: 0.01 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.05 | Chg30d=-0.023 | Revisions Net=-2 | Analysts=6
EPS current Year (2026-09-30): EPS=2.86 | Chg30d=+0.023 | Revisions Net=+2 | Growth EPS=+30.0% | Growth Revenue=+23.7%
EPS next Year (2027-09-30): EPS=3.65 | Chg30d=+0.037 | Revisions Net=+2 | Growth EPS=+27.5% | Growth Revenue=+9.8%