Construction Partners, Inc. (ROAD) vs Tutor Perini Corporation (TPC)

Construction Partners, Inc. and Tutor Perini Corporation are both Engineering & Construction companies. Construction Partners, Inc. is the larger, with a market value of $5.1B against $4.4B — 1.2× the size. Tutor Perini Corporation trades at the lower P/E: 35.6× against 36.5×. Construction Partners, Inc. grew revenue faster over the last twelve months: 41.9% against 24.7%. Construction Partners, Inc. has the higher net margin (4.10% vs 2.08%) and the lower return on invested capital (6.82% vs 32.4%). Across the 22 metrics below, Tutor Perini Corporation leads on 13 and Construction Partners, Inc. on 9.

Valuation

Metric ROAD TPC Engineering & Construction median
P/E 36.46 35.58 28.59
P/S 1.51 0.74 1.15
P/B 5.03 3.31 3.96
Price to free cash flow 25.37 7.01 25.24
EV/EBITDA 14.55 11.49 14.87
EV/Sales 1.99 0.60 1.42
Earnings yield 2.74% 2.81% 2.47%
Free cash flow yield 3.94% 14.27% 1.91%

Profitability

Metric ROAD TPC Engineering & Construction median
Gross margin 15.76% 11.48% 18.76%
Operating margin 8.57% 4.49% 6.26%
Net margin 4.10% 2.08% 2.23%
Free cash flow margin 5.94% 10.59% 1.83%
Return on equity 15.05% 9.62% 7.90%
Return on assets 4.36% 2.42% 0.87%
Return on invested capital 6.82% 32.39% 2.52%

Growth

Metric ROAD TPC Engineering & Construction median
Revenue growth (TTM) 41.92% 24.70% 16.67%
EPS growth (last fiscal year) 40.46% 148.24% —
Revenue growth, 5-year CAGR 29.05% 0.83% 11.76%
Net income growth, 5-year CAGR 20.36% (5.79%) 0.00%

Health

Metric ROAD TPC Engineering & Construction median
Debt to equity 1.72 0.30 0.40
Current ratio 1.57 1.29 1.39
Net debt to EBITDA 3.86 (2.10) 0.38

Dividend

Metric ROAD TPC Engineering & Construction median
Dividend yield — — 0.65%
Payout ratio 0.00 0.00 0.00

Size

Metric ROAD TPC Engineering & Construction median
Market cap 5.10b 4.38b 1.31b

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