In a recent filing with the Securities and Exchange Commission, Construction Partners, Inc. (NASDAQ:ROAD) disclosed that Craig Jennings, a director of the company, sold 12,731 shares of Class A common stock. The shares were sold at a weighted average price of $99.78, resulting in a total transaction value of approximately $1.27 million. The sale comes as Construction Partners' stock has delivered an impressive 125% return over the past year, with the company now commanding a market capitalization of $5.46 billion. According to InvestingPro analysis, the stock appears to be trading above its Fair Value.
The filing also detailed several other transactions involving SunTx Capital Partners (WA:CPAP) II and its affiliates, who are significant shareholders in Construction Partners. These transactions included conversions and distributions of shares but did not involve any cash consideration. InvestingPro data shows the company maintains good financial health with a current ratio of 1.54 and operates with a moderate debt level. Get access to 16+ additional ProTips and comprehensive analysis with an InvestingPro subscription.
Craig Jennings, along with Ned N. Fleming III and Mark R. Matteson, are directors of Construction Partners and are associated with SunTx Capital Partners. These transactions reflect ongoing portfolio management activities by SunTx Capital Partners and its affiliates. The company currently trades at a P/E ratio of 73.7, significantly above industry averages, while maintaining strong revenue growth of 16.7% over the last twelve months.
In other recent news, Construction Partners Inc (NASDAQ:ROAD). reported a record fiscal year in 2024, with revenue growing by 17% to $1.82 billion and net income rising by 41% to $68.9 million. The company's adjusted EBITDA also saw a significant increase of 28%, reaching $220.6 million. In light of these results, DA Davidson has upgraded the price target for Construction Partners to $95.00 from the previous target of $75.00 while maintaining a neutral rating on the stock. The acquisition of Lone Star Paving played a pivotal role in the company's strategy, enhancing its presence in Texas and contributing to its EBITDA margins. Furthermore, Construction Partners completed eight acquisitions in fiscal 2024, expanding its market share in Sunbelt states. The company anticipates robust demand in commercial and public markets, backed by the Infrastructure Investment and Jobs Act. For fiscal 2025, Construction Partners projects increased revenue between $2.48 billion and $2.58 billion, and adjusted EBITDA between $347 million and $377 million. These are amongst the recent developments for Construction Partners.
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