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Here's How Much You'd Have If You Invested $1000 in Dycom Industries a Decade Ago
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For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Dycom Industries (DY - Free Report) ten years ago? It may not have been easy to hold on to DY for all that time, but if you did, how much would your investment be worth today?
Dycom Industries' Business In-Depth
With that in mind, let's take a look at Dycom Industries' main business drivers.
Based in North America, Dycom Industries Inc. is a specialty contracting firm operating in the telecom industry. The company provides diverse services such as engineering, construction, maintenance and installation services for the cable and telephone companies. Dycom provides specialty constructing services to the following customers:
Telecommunications (accounting for 89.7% of fiscal 2023 contract revenues): Dycom provides integrated services for designing aerial, underground and buried fiber optic, copper, and coaxial cable systems for telecom, cable and multiple system operators. It also equips telecom providers with engineering services for designing concept boxes and terminals for various activities. For the wireless network, the company’s service package comprises tower construction, installation of lines and antenna, constructing foundation and equipment pad, fabrication for required equipment and materials as well as testing services at the site.
Underground Facility Locating (7.2%): The company provides underground facility-locating services to a number of utility companies to avoid damage of the underground facilities like telephone, cable television, power, water, sewer and gas lines. Dycom’s expertise in these not only minimizes the damage but also controls its impact on people in the surrounding areas.
Electric and Gas Utilities (3.1%): Dycom also offers services to electric and gas utility companies for both construction and maintenance of gas pipelines and power distribution network. These services are generally provided on a stand-alone basis. However, at times the company is required to provide comprehensive services for deploying both telecom and electric infrastructure at new constructions. Dycom is also adept in installation and maintenance of natural gas transmission networks.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Dycom Industries, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in November 2013 would be worth $3,502.45, or a 250.24% gain, as of November 28, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
In comparison, the S&P 500 gained 151.79% and the price of gold went up 55.05% over the same time frame.
Going forward, analysts are expecting more upside for DY.
Dycom’s third-quarter fiscal 2024 earnings and revenues surpassed the Zacks Consensus Estimate by 59.3% and 6.3%, respectively. Also, the top and the bottom lines grew year over year by 9% and 56.7%, respectively. The uptrend was driven by a boost in demand from four of the company’s top five customers on the back of the deployment of gigabit wireline networks, wireless/wireline converged networks and wireless networks. Given the flow of new awards from its customers, the company’s backlog grew 6.5% sequentially and 8.1% year over year to $6.613 billion. Owing to the tailwinds, its shares outperformed its industry in the past six months. However, the ongoing macroeconomic uncertainties and energy price fluctuations are concerns. Earnings estimates for fiscal 2024 have declined in the past 60 days, depicting analysts’ concern.
The stock is up 21.20% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2024. The consensus estimate has moved up as well.
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Here's How Much You'd Have If You Invested $1000 in Dycom Industries a Decade Ago
For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Dycom Industries (DY - Free Report) ten years ago? It may not have been easy to hold on to DY for all that time, but if you did, how much would your investment be worth today?
Dycom Industries' Business In-Depth
With that in mind, let's take a look at Dycom Industries' main business drivers.
Based in North America, Dycom Industries Inc. is a specialty contracting firm operating in the telecom industry. The company provides diverse services such as engineering, construction, maintenance and installation services for the cable and telephone companies. Dycom provides specialty constructing services to the following customers:
Telecommunications (accounting for 89.7% of fiscal 2023 contract revenues): Dycom provides integrated services for designing aerial, underground and buried fiber optic, copper, and coaxial cable systems for telecom, cable and multiple system operators. It also equips telecom providers with engineering services for designing concept boxes and terminals for various activities. For the wireless network, the company’s service package comprises tower construction, installation of lines and antenna, constructing foundation and equipment pad, fabrication for required equipment and materials as well as testing services at the site.
Underground Facility Locating (7.2%): The company provides underground facility-locating services to a number of utility companies to avoid damage of the underground facilities like telephone, cable television, power, water, sewer and gas lines. Dycom’s expertise in these not only minimizes the damage but also controls its impact on people in the surrounding areas.
Electric and Gas Utilities (3.1%): Dycom also offers services to electric and gas utility companies for both construction and maintenance of gas pipelines and power distribution network. These services are generally provided on a stand-alone basis. However, at times the company is required to provide comprehensive services for deploying both telecom and electric infrastructure at new constructions. Dycom is also adept in installation and maintenance of natural gas transmission networks.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Dycom Industries, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in November 2013 would be worth $3,502.45, or a 250.24% gain, as of November 28, 2023, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
In comparison, the S&P 500 gained 151.79% and the price of gold went up 55.05% over the same time frame.
Going forward, analysts are expecting more upside for DY.
Dycom’s third-quarter fiscal 2024 earnings and revenues surpassed the Zacks Consensus Estimate by 59.3% and 6.3%, respectively. Also, the top and the bottom lines grew year over year by 9% and 56.7%, respectively. The uptrend was driven by a boost in demand from four of the company’s top five customers on the back of the deployment of gigabit wireline networks, wireless/wireline converged networks and wireless networks. Given the flow of new awards from its customers, the company’s backlog grew 6.5% sequentially and 8.1% year over year to $6.613 billion. Owing to the tailwinds, its shares outperformed its industry in the past six months. However, the ongoing macroeconomic uncertainties and energy price fluctuations are concerns. Earnings estimates for fiscal 2024 have declined in the past 60 days, depicting analysts’ concern.
The stock is up 21.20% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2024. The consensus estimate has moved up as well.