Retirement Systems of Alabama Trims Holdings in EMCOR Group, Inc. $EME

Retirement Systems of Alabama reduced its stake in EMCOR Group, Inc. (NYSE:EME) by 87.0% in the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 9,549 shares of the construction company’s stock after selling 64,064 shares during the quarter. Retirement Systems of Alabama’s holdings in EMCOR Group were worth $6,202,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also modified their holdings of the company. Quent Capital LLC purchased a new position in EMCOR Group during the third quarter worth about $29,000. Orion Capital Management LLC acquired a new stake in shares of EMCOR Group during the 3rd quarter worth approximately $31,000. Tobam raised its position in shares of EMCOR Group by 1,900.0% during the 2nd quarter. Tobam now owns 80 shares of the construction company’s stock valued at $43,000 after buying an additional 76 shares during the period. Twin Peaks Wealth Advisors LLC purchased a new stake in shares of EMCOR Group during the 2nd quarter valued at approximately $43,000. Finally, True Wealth Design LLC lifted its holdings in EMCOR Group by 333.3% in the third quarter. True Wealth Design LLC now owns 91 shares of the construction company’s stock valued at $59,000 after acquiring an additional 70 shares during the last quarter. 92.59% of the stock is owned by institutional investors and hedge funds.

EMCOR Group Price Performance

Shares of NYSE:EME opened at $721.29 on Friday. EMCOR Group, Inc. has a 1 year low of $320.89 and a 1 year high of $778.64. The firm’s 50-day moving average is $645.50 and its two-hundred day moving average is $640.06. The firm has a market capitalization of $32.29 billion, a PE ratio of 29.00 and a beta of 1.17.

EMCOR Group (NYSE:EME) last issued its quarterly earnings results on Thursday, October 30th. The construction company reported $6.57 EPS for the quarter, meeting the consensus estimate of $6.57. The company had revenue of $4.30 billion during the quarter, compared to analysts’ expectations of $4.27 billion. EMCOR Group had a net margin of 6.96% and a return on equity of 37.04%. The firm’s revenue was up 16.4% compared to the same quarter last year. During the same quarter last year, the company posted $5.80 EPS. Analysts expect that EMCOR Group, Inc. will post 20.74 EPS for the current fiscal year.

EMCOR Group Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, January 30th. Investors of record on Wednesday, January 14th were paid a dividend of $0.40 per share. The ex-dividend date was Wednesday, January 14th. This is a positive change from EMCOR Group’s previous quarterly dividend of $0.25. This represents a $1.60 dividend on an annualized basis and a dividend yield of 0.2%. EMCOR Group’s payout ratio is currently 6.43%.

EMCOR Group announced that its board has initiated a stock buyback program on Thursday, December 18th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the construction company to repurchase up to 1.9% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on EME. Zacks Research cut EMCOR Group from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, November 19th. Wall Street Zen downgraded EMCOR Group from a “strong-buy” rating to a “buy” rating in a research report on Saturday, November 8th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of EMCOR Group in a research report on Wednesday, January 21st. The Goldman Sachs Group upgraded shares of EMCOR Group from a “sell” rating to a “neutral” rating and lifted their price target for the company from $495.00 to $676.00 in a research report on Tuesday, October 7th. Finally, Robert W. Baird set a $713.00 price objective on shares of EMCOR Group in a report on Friday, October 31st. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $698.83.

Insiders Place Their Bets

In related news, Director Robin A. Walker-Lee sold 1,325 shares of EMCOR Group stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $677.22, for a total value of $897,316.50. Following the completion of the transaction, the director owned 6,140 shares in the company, valued at $4,158,130.80. The trade was a 17.75% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.83% of the stock is currently owned by company insiders.

About EMCOR Group

EMCOR Group, Inc is a provider of mechanical and electrical construction, industrial and energy infrastructure, and facilities services to commercial, institutional and industrial clients. The company delivers a broad range of services that include design-build and traditional construction of mechanical, electrical and plumbing systems; ongoing facilities maintenance and operations; and specialized industrial services for sectors such as manufacturing, data centers, healthcare and utilities.

EMCOR’s service offerings encompass HVAC, plumbing, electrical installation and maintenance, fire protection, building automation and controls, commissioning, testing and balancing, and energy management solutions.