Centuri (NYSE:CTRI) Issues Earnings Results

Centuri (NYSE:CTRI) announced its quarterly earnings results on Thursday. The company reported $0.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.23 by $0.19, FiscalAI reports. The firm had revenue of $1.19 billion during the quarter, compared to analysts’ expectations of $1.04 billion. Centuri had a net margin of 0.86% and a return on equity of 5.85%. The company’s revenue was up 40.2% on a year-over-year basis. During the same period in the prior year, the company posted $0.19 EPS.

Here are the key takeaways from Centuri’s conference call:

• Centuri reported record Q3 revenue of $1.2 billion, up 40% year over year, and record gross profit of $113 million. Gross margin rose to 9.5% from 7.2% in Q2, with management citing improved productivity from earlier capacity investments and initial benefits from repricing contracts.
• Demand and visibility strengthened, with a $19 billion opportunity pipeline, $4.8 billion in outstanding bids, and $6.2 billion of backlog. Management sees mid-teens revenue growth in 2027, to more than $4.4 billion, and targets gross margins of 8.5%–9% as it pursues higher-margin bid work and continued pricing improvements.
• Centuri raised its full-year 2026 outlook to revenue of $3.8–$3.9 billion, adjusted EBITDA of $290–$300 million, and adjusted net income of $80–$90 million. The outlook assumes no Q4 storm work; management said early-October storm work would be additive.
• Q3 free cash flow was negative $30 million, and the full-year expectation was reduced to $25–$50 million because revenue growth is driving higher working-capital needs. Management characterized the shortfall as timing-related and expects year-end net leverage in the low-2x range, down from 2.6x at quarter-end.
• Management said data centers remain a selective, limited opportunity: Centuri has booked about $370 million of work, with roughly $200 million remaining in backlog, and expects the segment to stay below 10% of annual revenue. It will pursue projects only when scope, funding, permitting, and execution plans are sufficiently clear.

Centuri Trading Up 8.8%

Shares of CTRI stock traded up $1.64 during mid-day trading on Friday, hitting $20.29. The company’s stock had a trading volume of 2,988,507 shares, compared to its average volume of 2,240,270. The company’s fifty day simple moving average is $20.31 and its 200-day simple moving average is $27.10. Centuri has a 52 week low of $18.50 and a 52 week high of $42.99. The company has a debt-to-equity ratio of 0.81, a quick ratio of 1.82 and a current ratio of 1.82. The company has a market cap of $2.05 billion, a PE ratio of 36.23, a P/E/G ratio of 0.70 and a beta of 0.94.

Wall Street Analyst Weigh In

A number of research firms recently commented on CTRI. Bank of America cut their price objective on Centuri from $33.50 to $21.00 and set an “underperform” rating on the stock in a research note on Friday, September 4th. Wells Fargo & Company decreased their target price on shares of Centuri from $28.00 to $24.00 and set an “overweight” rating for the company in a research report on Friday. Robert W. Baird decreased their target price on shares of Centuri from $33.00 to $26.00 and set an “outperform” rating for the company in a research report on Tuesday, September 29th. Weiss Ratings lowered shares of Centuri from a “hold (c-)” rating to a “sell (d+)” rating in a report on Thursday, October 8th. Finally, JPMorgan Chase & Co. dropped their price target on shares of Centuri from $23.00 to $22.00 and set an “underweight” rating on the stock in a research report on Monday, October 19th. Three research analysts have rated the stock with a Buy rating, one has given a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, Centuri currently has an average rating of “Hold” and a consensus target price of $27.50.

Centuri News Summary

Here are the key news stories impacting Centuri this week:

• Positive Sentiment: Centuri reported third-quarter EPS of $0.42, above analysts’ estimates of $0.23, and revenue of $1.19 billion versus expectations of $1.04 billion. Revenue rose 40.2% year over year, and EPS more than doubled from $0.19 a year earlier. Article: Centuri Holdings Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: The company’s FY 2026 revenue guidance of $3.8 billion–$3.9 billion is above the $3.7 billion consensus estimate. Centuri also outlined 2027 revenue above $4.4 billion and a target gross margin of 8.5%–9%, signaling continued growth potential. Article: Centuri Outlines 2027 Revenue and Gross-Margin Targets
• Neutral Sentiment: Wells Fargo lowered its price target from $28 to $24 but maintained an “overweight” rating. The new target still implies 18.3% upside from the cited share price, though the reduction suggests a more cautious valuation view.

Insider Activity at Centuri

In other Centuri news, Director Dustin DeMaria bought 5,200 shares of the business’s stock in a transaction that occurred on Friday, September 18th. The shares were bought at an average price of $19.27 per share, for a total transaction of $100,204.00. Following the transaction, the director directly owned 12,936 shares in the company, valued at approximately $249,276.72. This trade represents a 67.22% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.33% of the stock is currently owned by insiders.

Centuri Company Profile

Centuri Holdings, Inc is a strategic infrastructure services company that supports the development, maintenance and modernization of energy and utility systems. The company provides construction and related services for natural gas and electric distribution infrastructure, including pipelines, utility networks and other assets used to deliver energy to homes, businesses and communities.

Centuri also serves customers in areas such as electric transmission, renewable energy and broader utility infrastructure.