Dycom Industries, Inc. (NYSE:DY) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report issued on Friday.

According to Zacks, “Dycom reported third-quarter fiscal 2017 adjusted earnings of $1.30 a share, which beat the Zacks Consensus Estimate by 8.3% and surged 20.4% year over year. Robust operating performance and a stellar top-line improvement proved conducive to earnings growth. Going forward, favorable industry trends like surging demand for 1-Gigabyte deployment, huge investment in wireline networks and cable capacity projects boost growth. In the past one year, Dycom’s shares have witnessed a gain against a decline recorded by the Zacks categorized Building & Heavy Construction industry. However, on the flip side, a drab guidance for the fiscal fourth quarter, short-term margin pressure due to nature of work and reduced contributions from the acquired business signals tough times ahead. Also, timing uncertainty and spending fluctuations in relation to the large scale network deployments are likely to hurt the company's profitability. “

A number of other analysts also recently weighed in on the company. FBR & Co reiterated an “outperform” rating and set a $112.00 price target (down from $120.00) on shares of Dycom Industries in a report on Thursday. Canaccord Genuity reaffirmed a “buy” rating and issued a $52.00 price target on shares of Dycom Industries in a research report on Thursday. ValuEngine raised shares of Dycom Industries from a “hold” rating to a “buy” rating in a research report on Thursday. Wells Fargo & Co reissued an “overweight” rating on shares of Dycom Industries in a research report on Wednesday, April 19th. Finally, Stifel Nicolaus reissued a “buy” rating and set a $120.00 target price (up previously from $112.00) on shares of Dycom Industries in a research report on Saturday, April 22nd. Two investment analysts have rated the stock with a hold rating, five have issued a buy rating and one has issued a strong buy rating to the company. Dycom Industries has a consensus rating of “Buy” and an average target price of $103.42.

Analyst Recommendations for Dycom Industries (NYSE:DY)

Shares of Dycom Industries (NYSE:DY) traded down 2.30% during mid-day trading on Friday, hitting $82.12. The stock had a trading volume of 1,238,033 shares. Dycom Industries has a one year low of $70.33 and a one year high of $110.64. The company has a 50-day moving average of $103.47 and a 200 day moving average of $88.54. The firm has a market cap of $2.58 billion, a price-to-earnings ratio of 16.89 and a beta of 1.31.

Dycom Industries (NYSE:DY) last announced its earnings results on Wednesday, May 24th. The construction company reported $1.30 earnings per share for the quarter, beating the consensus estimate of $1.19 by $0.11. Dycom Industries had a return on equity of 28.63% and a net margin of 5.30%. The firm had revenue of $786.30 million during the quarter, compared to the consensus estimate of $736.20 million. During the same quarter in the prior year, the company earned $1.08 EPS. The firm’s revenue for the quarter was up 18.3% compared to the same quarter last year. On average, equities research analysts forecast that Dycom Industries will post $5.26 earnings per share for the current year.

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In other Dycom Industries news, VP Richard B. Vilsoet sold 2,500 shares of the business’s stock in a transaction dated Thursday, March 9th. The shares were sold at an average price of $94.76, for a total value of $236,900.00. Following the transaction, the vice president now owns 58,745 shares in the company, valued at $5,566,676.20. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 5.20% of the stock is currently owned by insiders.

Several institutional investors have recently added to or reduced their stakes in DY. HMS Capital Management LLC purchased a new position in Dycom Industries during the third quarter worth about $1,423,000. Foster Dykema Cabot & Co. Inc. MA bought a new position in shares of Dycom Industries during the third quarter valued at about $463,000. Northern Trust Corp boosted its position in shares of Dycom Industries by 19.8% in the third quarter. Northern Trust Corp now owns 539,467 shares of the construction company’s stock valued at $44,118,000 after buying an additional 89,279 shares in the last quarter. BOKF NA boosted its position in shares of Dycom Industries by 7.4% in the third quarter. BOKF NA now owns 5,617 shares of the construction company’s stock valued at $459,000 after buying an additional 387 shares in the last quarter. Finally, Two Sigma Advisers LP bought a new position in shares of Dycom Industries during the third quarter valued at about $8,133,000.

About Dycom Industries

Dycom Industries, Inc is a provider of specialty contracting services throughout the United States and in Canada. The Company, through its subsidiaries, provides program management, engineering, construction, maintenance and installation services for telecommunications providers, underground facility locating services for various utilities, including telecommunications providers, and other construction and maintenance services for electric and gas utilities.

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