2024-07-11 01:40:02 ET
Summary
- Primoris Services Corporation is a Dallas-based company providing infrastructure services in the U.S. and Canada, with a focus on the energy business.
- The company's involvement in data centers and renewables sets it apart from competitors, with strong growth potential in solar and grid storage.
- My view is PRIM is undervalued and is worth ~$59/share today with the potential for 24% CAGR to $74/share by FY'26E.
- These imply 13x NOPAT, below the current 17x NOPAT where it trades today, indicating high margin of safety.
Investment Thesis
Based in Dallas, Texas, Primoris Services Corporation ( PRIM ) is in the business of providing infrastructure services. Operating mainly in the U.S. and Canada, the company offers a broad range of construction, replacement, fabrication, and engineering services to a diversified customer base through its two primary segments, (i) utilities and (ii) energy....
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For further details see:
Primoris Services: Tailwinds From Solar, Sales Growth Underappreciated