Granite Construction (NYSE:GVA) Posts Earnings Results, Beats Estimates By $1.03 EPS

Granite Construction (NYSE:GVA) posted its quarterly earnings results on Thursday, April 30th. The construction company reported $0.26 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.77) by $1.03, Zacks reports. The company had revenue of $912.47 million for the quarter, compared to the consensus estimate of $782.26 million. Granite Construction had a net margin of 3.99% and a return on equity of 24.90%. The firm’s quarterly revenue was up 30.4% compared to the same quarter last year. During the same period last year, the company posted $0.01 EPS.

Here are the key takeaways from Granite Construction’s conference call:

• Acquisition: The purchase of Kenny Seng Construction is expected to add about $150 million of annual revenue with an accretive adjusted EBITDA margin in the high teens, expanding Granite’s Utah presence and exposure to education and mission‑critical end markets.
• Stronger results and raised guidance: Q1 revenue rose 30% to $912M and adjusted EBITDA increased to $58M, prompting management to raise 2026 revenue guidance to $5.2–$5.4B and increase adjusted EBITDA margin guidance to 12.25%–13.25% while lowering SG&A as a percent of revenue.
• Materials momentum: The materials segment started the year “fantastic” with volume and cash gross profit gains led by the Warren Paving integration, and management says energy exposures are hedged so recent oil price moves are not expected to materially affect the annual outlook.
• Backlog and tactical projects: CAP grew to $7.2B despite a rare ~$300M California contract cancellation; the backlog includes large, quick‑burn federal/tactical infrastructure projects that lift near‑term revenue but carry schedule, logistics and subcontractor execution risks.

Granite Construction Trading Up 0.0%

NYSE GVA opened at $141.40 on Monday. The business’s 50-day moving average price is $130.28 and its two-hundred day moving average price is $123.80. Granite Construction has a 12 month low of $87.72 and a 12 month high of $145.00. The firm has a market capitalization of $6.19 billion, a PE ratio of 40.75 and a beta of 1.32. The company has a current ratio of 1.09, a quick ratio of 0.97 and a debt-to-equity ratio of 0.80.

Granite Construction Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th will be issued a dividend of $0.13 per share. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $0.52 annualized dividend and a yield of 0.4%. Granite Construction’s payout ratio is presently 14.99%.

Analyst Ratings Changes

A number of research firms have weighed in on GVA. Zacks Research raised shares of Granite Construction to a “hold” rating in a research note on Friday, May 29th. Weiss Ratings cut Granite Construction from a “buy (b)” rating to a “hold (c+)” rating in a report on Wednesday, May 6th. DA Davidson lifted their price target on Granite Construction from $130.00 to $155.00 and gave the company a “buy” rating in a research note on Friday, February 13th. Oppenheimer began coverage on Granite Construction in a report on Thursday, May 28th. They set an “outperform” rating and a $170.00 price target on the stock. Finally, Wall Street Zen lowered shares of Granite Construction from a “buy” rating to a “hold” rating in a report on Saturday, May 30th. Two investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $149.67.

Insider Activity

In other news, CFO Staci M. Woolsey sold 1,523 shares of the firm’s stock in a transaction dated Thursday, March 19th. The stock was sold at an average price of $119.84, for a total transaction of $182,516.32. Following the completion of the transaction, the chief financial officer directly owned 18,954 shares in the company, valued at $2,271,447.36. This trade represents a 7.44% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Kyle T. Larkin sold 26,651 shares of the company’s stock in a transaction that occurred on Friday, March 27th. The shares were sold at an average price of $118.12, for a total value of $3,148,016.12. Following the completion of the sale, the chief executive officer owned 114,881 shares in the company, valued at $13,569,743.72. The trade was a 18.83% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 35,488 shares of company stock valued at $4,207,042. Insiders own 0.88% of the company’s stock.

Institutional Investors Weigh In On Granite Construction

A number of institutional investors have recently modified their holdings of GVA. Aster Capital Management DIFC Ltd raised its stake in Granite Construction by 512.8% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 239 shares of the construction company’s stock worth $28,000 after buying an additional 200 shares during the last quarter. Quarry LP boosted its position in Granite Construction by 1,417.6% during the third quarter. Quarry LP now owns 516 shares of the construction company’s stock valued at $57,000 after acquiring an additional 482 shares during the last quarter. Danske Bank A S bought a new stake in Granite Construction during the third quarter valued at $77,000. Glenmede Investment Management LP acquired a new stake in Granite Construction during the 3rd quarter worth about $206,000. Finally, Vise Technologies Inc. acquired a new stake in Granite Construction during the 3rd quarter worth about $220,000.

Granite Construction Company Profile

Granite Construction Inc is a publicly traded heavy civil contractor and construction materials producer based in Watsonville, California. The company specializes in delivering large-scale infrastructure projects for government and private clients, focusing on the development, rehabilitation and maintenance of transportation, water resource and industrial facilities. Its turnkey solutions span the full project lifecycle, from preconstruction and design-build to construction management and facilities maintenance.

In its construction segment, Granite undertakes highway and bridge building, airport runway and taxiway construction, marine terminal and port improvements, dam and reservoir projects, transit systems and underground utilities.