Everus Construction Group, Inc. (ECG) vs Granite Construction Incorporated (GVA)

Everus Construction Group, Inc. and Granite Construction Incorporated are both Engineering & Construction companies. Everus Construction Group, Inc. is the larger, with a market value of $6.1B against $4.9B — 1.2× the size. Granite Construction Incorporated has negative trailing earnings, so its P/E is not meaningful; Everus Construction Group, Inc. trades at 23.5×. Everus Construction Group, Inc. grew revenue faster over the last twelve months: 30.5% against 21.8%. Everus Construction Group, Inc. has the higher net margin (5.96% vs −3.32%) and the higher return on invested capital (23.7% vs 13.6%). Across the 19 metrics below, Everus Construction Group, Inc. leads on 10 and Granite Construction Incorporated on 9.

Valuation

Metric ECG GVA Engineering & Construction median
P/E 23.48 n/m 28.59
P/S 1.40 1.01 1.15
P/B 7.73 6.25 3.96
Price to free cash flow 22.93 9.92 25.24
EV/EBITDA 16.54 11.22 14.87
EV/Sales 1.42 1.14 1.42
Earnings yield 4.26% (3.28%) 2.47%
Free cash flow yield 4.36% 10.08% 1.91%

Profitability

Metric ECG GVA Engineering & Construction median
Gross margin 13.02% 15.64% 18.76%
Operating margin 7.75% 6.33% 6.26%
Net margin 5.96% (3.32%) 2.23%
Free cash flow margin 6.11% 10.22% 1.83%
Return on equity 39.52% (17.18%) 7.90%
Return on assets 14.38% (4.18%) 0.87%
Return on invested capital 23.73% 13.55% 2.52%

Growth

Metric ECG GVA Engineering & Construction median
Revenue growth (TTM) 30.53% 21.80% 16.67%
EPS growth (last fiscal year) 40.57% 47.33% —
Revenue growth, 5-year CAGR — 4.43% 11.76%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric ECG GVA Engineering & Construction median
Debt to equity 0.36 1.94 0.40
Current ratio 1.59 1.01 1.39
Net debt to EBITDA 0.38 1.64 0.38

Dividend

Metric ECG GVA Engineering & Construction median
Dividend yield — 1.10% 0.65%
Payout ratio — 0.54 0.00

Size

Metric ECG GVA Engineering & Construction median
Market cap 6.05b 4.85b 1.31b

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