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In the last reported quarter, the company’s earnings topped the Zacks Consensus Estimate by 16.4% but increased 35.4% from a year ago. Contract revenues increased 14.5% year over year but missed the consensus mark by 1.3%.
Dycom’s earnings surpassed estimates in each of the trailing four quarters, with an average of 22.4%.
DY’s Earnings & Revenue Expectations
The Zacks Consensus Estimate for fiscal third-quarter earnings per share (EPS) has remained stable at $3.15 over the past 60 days. However, the estimated figure indicates 17.5% growth on a year-over-year basis.
The consensus estimate for contract revenues is pegged at $1.40 billion, indicating a 10.1% year-over-year rise from $1.27 billion.
Factors Likely to Have Shaped Dycom’s Q3 Performance
Revenues
Dycom’s top-line performance in the fiscal third quarter is expected to have gained on the back of its fiber-to-the-home initiatives, wireless activities, maintenance services and contributions from infrastructure projects tied to hyperscalers. The robust demand across telecommunications networks, due to capacity expansion and performance enhancements of existing networks, is expected to have contributed to the revenue growth as well.
The growing need for data-intensive applications and AI workloads is likely to have been another top-line driver for Dycom, now as well as in the upcoming period. Over the next five years, Dycom projects that its addressable market opportunity from outside plant data center network infrastructure will exceed $20 billion.
For the fiscal third quarter, DY expects contract revenues between $1.38 billion and $1.43 billion, which compares favorably with $1.272 billion reported in the year-ago quarter.
Per customer type, our model expects revenues from Telecommunications and Underground Facility Locating to increase year over year by 9.3% to $1.09 billion and 18% to $95.9 million, respectively. Contrarily, we expect revenues from the Electric and Gas Utilities to decline year over year by 30.5% to $27 million.
Earnings & Margins
For the fiscal third quarter, Dycom’s bottom line is expected to have increased year over year because of incremental leverage from contract revenue growth. Owing to the robust market fundamentals, the company projects adjusted EBITDA between $198 million and $213 million, up from $170.7 million reported in the prior-year quarter. The company anticipates diluted EPS in the range of $3.03-$3.36 for the fiscal third quarter compared with $2.37 in the prior-year quarter.
We expect adjusted EBITDA to grow year over year by 17.7% to $201 million, with adjusted EBITDA margin expanding 90 basis points (bps) to 14.3%. Our projection for total operating expenses (as a percentage of contract revenues) is 90.7%, down 130 bps from 92% reported a year ago.
Although increases in administrative, payroll and performance-based compensation are concerning for the bottom line’s growth, the increasing top line and favorable market demand trends are expected to have more than offset these adversities.
Backlog
For the fiscal third quarter, our model expects a total backlog of $8.94 billion, indicating growth of 13.8% from $7.86 billion reported in the prior-year quarter.
What the Zacks Model Says for DY
Our proven model does not conclusively predict an earnings beat for Dycom this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here, as you will see below.
DY’s Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Fluor Corporation (FLR - Free Report) reported mixed third-quarter 2025 results, with adjusted earnings topping the Zacks Consensus Estimate while revenues missed the same. On a year-over-year basis, the bottom line grew, but the top line declined.
The quarter’s results reflect increased execution activities across several large projects in the company’s segments, as well as the sale of NuScale. Fluor’s 2025 outlook appears promising, supported by new service contracts with the U.S. Air Force, additional work for the intelligence community and projects for the National Cancer Institute. For 2025, Fluor expects adjusted EPS to be in the range of $2.10-$2.25 (the prior expectation was in the range of $1.95-$2.15).
Martin Marietta Materials, Inc. (MLM - Free Report) reported lower-than-expected results for the third quarter of 2025. The quarterly earnings and revenues missed the Zacks Consensus Estimate, but grew on a year-over-year basis.
Martin Marietta’s quarterly performance was backed by strong infrastructure activity, with nonresidential construction booming because of accelerated data center development, recovering warehouse sector and improving momentum in domestic manufacturing. Although residential demand is weak in the near term, in the long term, the trends are expected to normalize. The prospects are stemming from the optimism around Fed rate cuts and moderating mortgage rates. Moving forward, Martin Marietta remains well-positioned with its aggregates-led platform and execution of its SOAR 2025 initiatives.
MasTec, Inc. (MTZ - Free Report) reported results for the third quarter of 2025, with earnings and revenues beating the Zacks Consensus Estimate. Both the top and bottom lines increased on a year-over-year basis.
MasTec delivered a solid performance supported by strong activity across communications, clean energy and power delivery markets. Better execution aided margins, while a record backlog highlighted persistent demand tied to energy transition and infrastructure investment. For 2025, MasTec expects to generate revenues of approximately $14.07 billion, with adjusted earnings of $6.40 per share. This compares with $12.30 billion of revenues and $3.95 of adjusted EPS reported in 2024.
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Dycom to Report Q3 Earnings: Here's What Investors Must Know
Key Takeaways
Dycom Industries, Inc. (DY - Free Report) is scheduled to report its third-quarter fiscal 2026 results on Nov. 19, before the opening bell.
In the last reported quarter, the company’s earnings topped the Zacks Consensus Estimate by 16.4% but increased 35.4% from a year ago. Contract revenues increased 14.5% year over year but missed the consensus mark by 1.3%.
Dycom’s earnings surpassed estimates in each of the trailing four quarters, with an average of 22.4%.
DY’s Earnings & Revenue Expectations
The Zacks Consensus Estimate for fiscal third-quarter earnings per share (EPS) has remained stable at $3.15 over the past 60 days. However, the estimated figure indicates 17.5% growth on a year-over-year basis.
The consensus estimate for contract revenues is pegged at $1.40 billion, indicating a 10.1% year-over-year rise from $1.27 billion.
Dycom Industries, Inc. Price and EPS Surprise
Dycom Industries, Inc. price-eps-surprise | Dycom Industries, Inc. Quote
Factors Likely to Have Shaped Dycom’s Q3 Performance
Revenues
Dycom’s top-line performance in the fiscal third quarter is expected to have gained on the back of its fiber-to-the-home initiatives, wireless activities, maintenance services and contributions from infrastructure projects tied to hyperscalers. The robust demand across telecommunications networks, due to capacity expansion and performance enhancements of existing networks, is expected to have contributed to the revenue growth as well.
The growing need for data-intensive applications and AI workloads is likely to have been another top-line driver for Dycom, now as well as in the upcoming period. Over the next five years, Dycom projects that its addressable market opportunity from outside plant data center network infrastructure will exceed $20 billion.
For the fiscal third quarter, DY expects contract revenues between $1.38 billion and $1.43 billion, which compares favorably with $1.272 billion reported in the year-ago quarter.
Per customer type, our model expects revenues from Telecommunications and Underground Facility Locating to increase year over year by 9.3% to $1.09 billion and 18% to $95.9 million, respectively. Contrarily, we expect revenues from the Electric and Gas Utilities to decline year over year by 30.5% to $27 million.
Earnings & Margins
For the fiscal third quarter, Dycom’s bottom line is expected to have increased year over year because of incremental leverage from contract revenue growth. Owing to the robust market fundamentals, the company projects adjusted EBITDA between $198 million and $213 million, up from $170.7 million reported in the prior-year quarter. The company anticipates diluted EPS in the range of $3.03-$3.36 for the fiscal third quarter compared with $2.37 in the prior-year quarter.
We expect adjusted EBITDA to grow year over year by 17.7% to $201 million, with adjusted EBITDA margin expanding 90 basis points (bps) to 14.3%. Our projection for total operating expenses (as a percentage of contract revenues) is 90.7%, down 130 bps from 92% reported a year ago.
Although increases in administrative, payroll and performance-based compensation are concerning for the bottom line’s growth, the increasing top line and favorable market demand trends are expected to have more than offset these adversities.
Backlog
For the fiscal third quarter, our model expects a total backlog of $8.94 billion, indicating growth of 13.8% from $7.86 billion reported in the prior-year quarter.
What the Zacks Model Says for DY
Our proven model does not conclusively predict an earnings beat for Dycom this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here, as you will see below.
DY’s Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
DY’s Zacks Rank: It currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Recent Construction Releases
Fluor Corporation (FLR - Free Report) reported mixed third-quarter 2025 results, with adjusted earnings topping the Zacks Consensus Estimate while revenues missed the same. On a year-over-year basis, the bottom line grew, but the top line declined.
The quarter’s results reflect increased execution activities across several large projects in the company’s segments, as well as the sale of NuScale. Fluor’s 2025 outlook appears promising, supported by new service contracts with the U.S. Air Force, additional work for the intelligence community and projects for the National Cancer Institute. For 2025, Fluor expects adjusted EPS to be in the range of $2.10-$2.25 (the prior expectation was in the range of $1.95-$2.15).
Martin Marietta Materials, Inc. (MLM - Free Report) reported lower-than-expected results for the third quarter of 2025. The quarterly earnings and revenues missed the Zacks Consensus Estimate, but grew on a year-over-year basis.
Martin Marietta’s quarterly performance was backed by strong infrastructure activity, with nonresidential construction booming because of accelerated data center development, recovering warehouse sector and improving momentum in domestic manufacturing. Although residential demand is weak in the near term, in the long term, the trends are expected to normalize. The prospects are stemming from the optimism around Fed rate cuts and moderating mortgage rates. Moving forward, Martin Marietta remains well-positioned with its aggregates-led platform and execution of its SOAR 2025 initiatives.
MasTec, Inc. (MTZ - Free Report) reported results for the third quarter of 2025, with earnings and revenues beating the Zacks Consensus Estimate. Both the top and bottom lines increased on a year-over-year basis.
MasTec delivered a solid performance supported by strong activity across communications, clean energy and power delivery markets. Better execution aided margins, while a record backlog highlighted persistent demand tied to energy transition and infrastructure investment. For 2025, MasTec expects to generate revenues of approximately $14.07 billion, with adjusted earnings of $6.40 per share. This compares with $12.30 billion of revenues and $3.95 of adjusted EPS reported in 2024.