Dycom Industries (NYSE:DY) Issues Earnings Results

Dycom Industries (NYSE:DY) posted its quarterly earnings data on Wednesday. The construction company reported $5.29 EPS for the quarter, beating the consensus estimate of $4.72 by $0.57, FiscalAI reports. The firm had revenue of $2.01 billion during the quarter, compared to analyst estimates of $1.98 billion. Dycom Industries had a net margin of 4.79% and a return on equity of 25.30%. The company’s revenue for the quarter was up 45.6% on a year-over-year basis. During the same quarter last year, the business posted $3.33 EPS. Dycom Industries updated its Q3 2027 guidance to 4.330-4.790 EPS.

Here are the key takeaways from Dycom Industries’ conference call:

• Record Q2 results included $2.01 billion of revenue, up 45.6% year over year, 15.7% adjusted EBITDA margins, and adjusted EPS of $5.29; both EBITDA and EPS exceeded the high end of guidance.
• Demand remains strong across fiber-to-the-home, long-haul and middle-mile fiber, data-center interconnect, and data-center electrical systems. Backlog reached a record $12.2 billion, with more than $1 billion contracted for long-haul, middle-mile, and inside-the-fence fiber work.
• Dycom raised its fiscal 2027 revenue outlook to $7.48 billion-$7.66 billion, reflecting continued organic growth and the acquisition of National Technology Integrators, whose initial performance and cross-selling opportunities exceeded expectations.
• Approximately $150 million of wireless revenue is shifting from the second half of fiscal 2027 into fiscal 2028. Communications margins are expected to decline slightly year over year because of the deferral, workforce investments, ramp-up costs, and higher fuel prices.
• Building Systems delivered an exceptional 24.5% adjusted EBITDA margin, while cash flow improved materially, DSOs fell to 101 days, and the board authorized a new $150 million share-repurchase program.

Dycom Industries Price Performance

DY opened at $308.19 on Friday. The company has a debt-to-equity ratio of 1.35, a current ratio of 2.35 and a quick ratio of 2.46. The firm has a market cap of $9.26 billion, a PE ratio of 28.04, a P/E/G ratio of 0.55 and a beta of 1.54. Dycom Industries has a 1 year low of $242.55 and a 1 year high of $566.47. The stock has a 50-day moving average price of $421.24 and a 200-day moving average price of $414.57.

Key Headlines Impacting Dycom Industries

Here are the key news stories impacting Dycom Industries this week:

• Positive Sentiment: Dycom reported fiscal Q2 EPS of $5.29, above the roughly $4.62–$4.72 analyst consensus, while revenue reached approximately $2.01 billion, up 45.6% year over year and ahead of estimates. EBITDA was also stronger than expected at $315.5 million. Dycom Industries Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: The company raised its fiscal 2027 revenue outlook to approximately $7.5 billion–$7.7 billion, supported by strong fiber, data-center and Building Systems demand. Dycom also cited a record $12.2 billion backlog, improving long-term revenue visibility. DY Q2 Earnings Call Focuses on Fiber Demand and Higher Outlook
• Positive Sentiment: The board authorized a new $150 million share-repurchase program, covering up to approximately 1.4% of outstanding shares. The buyback may support earnings per share and signals management believes the stock is undervalued. Stock Buyback Program Declared by Dycom Industries Board
• Neutral Sentiment: JPMorgan, UBS, Wells Fargo, KeyCorp and Cantor Fitzgerald all reduced their price targets following the earnings report, but each maintained a positive rating ranging from “buy” to “overweight.” The revisions reflect greater near-term caution rather than a change to the longer-term investment thesis.
• Negative Sentiment: Fiscal Q3 EPS guidance of $4.33–$4.79 was below the approximately $4.68 consensus midpoint and raised concerns about near-term profitability. Dycom also expects about $150 million of wireless work to shift into fiscal 2028, contributing to the earnings-guidance shortfall. Analysts Cut Forecasts Following Q2 Results

Institutional Investors Weigh In On Dycom Industries

Several institutional investors and hedge funds have recently added to or reduced their stakes in DY. Kemnay Advisory Services Inc. bought a new position in shares of Dycom Industries in the fourth quarter worth approximately $30,000. Acumen Wealth Advisors LLC bought a new stake in shares of Dycom Industries in the 4th quarter worth about $35,000. IFP Advisors Inc raised its position in Dycom Industries by 400.0% during the third quarter. IFP Advisors Inc now owns 140 shares of the construction company’s stock valued at $41,000 after purchasing an additional 112 shares during the period. EverSource Wealth Advisors LLC lifted its position in Dycom Industries by 73.1% in the second quarter. EverSource Wealth Advisors LLC now owns 161 shares of the construction company’s stock worth $39,000 after buying an additional 68 shares during the last quarter. Finally, Employees Retirement System of Texas bought a new stake in shares of Dycom Industries in the 3rd quarter worth about $75,000. Hedge funds and other institutional investors own 98.33% of the company’s stock.

Dycom Industries declared that its Board of Directors has authorized a share buyback plan on Wednesday, August 26th that allows the company to buyback $150.00 million in shares. This buyback authorization allows the construction company to buy up to 1.4% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s board believes its shares are undervalued.

Analysts Set New Price Targets

Several equities research analysts have issued reports on the company. KeyCorp dropped their target price on Dycom Industries from $610.00 to $423.00 and set an “overweight” rating on the stock in a research report on Thursday. Wall Street Zen lowered Dycom Industries from a “strong-buy” rating to a “buy” rating in a research note on Saturday, July 25th. JPMorgan Chase & Co. dropped their price objective on Dycom Industries from $650.00 to $570.00 and set an “overweight” rating on the stock in a report on Thursday. Weiss Ratings upgraded Dycom Industries from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday, August 13th. Finally, UBS Group lowered their price objective on shares of Dycom Industries from $611.00 to $525.00 and set a “buy” rating on the stock in a research report on Thursday. Eleven research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $514.00.

Dycom Industries Company Profile

Dycom Industries, Inc (NYSE: DY) is a leading provider of specialty contracting services to the telecommunications industry in North America. The company delivers engineering, construction, installation and maintenance solutions for communications infrastructure, supporting a broad range of network technologies and system architectures. Dycom’s services span outside plant construction, cable placement, fiber optic deployment, wireless and wireline network engineering, as well as testing and turn-up services for voice, data and video applications.

Dycom’s customer base includes major telecommunications carriers, cable operators, utility companies and competitive local exchange carriers.