Update shared on05 Sep 2025
Despite MYR Group’s improving execution, margin outlook, and data center exposure, analysts believe much of the optimism is already priced in, resulting in an unchanged consensus price target of $209.60.
Analyst Commentary
- Bullish analysts highlighted MYR Group's recovery from previous execution challenges, noting positive momentum and the potential for sustained high single-digit core growth across both operating segments.
- Improving margins within long-term guided ranges contributed to higher price targets, with potential upside if margin expansion continues.
- The company's strong exposure to data center infrastructure was viewed as a compelling long-term growth catalyst.
- MYR Group's conservative balance sheet and financial flexibility were noted as positives, supporting its ability to navigate shifting market dynamics.
- Some analysts perceived shares as already pricing in much of the optimistic outlook, leading to a preference to wait for a more attractive entry point before turning more constructive.
What's in the News
- MYR Group is actively seeking acquisitions, emphasizing disciplined pricing and a preference for long-term partnerships, leveraging its strong balance sheet and low leverage.
- The Board of Directors authorized a new share repurchase program, allowing up to $75 million in buybacks, funded through cash and credit facility, valid until February 2026 or fund exhaustion.
- The company completed the repurchase of 639,207 shares (3.96% of outstanding shares) for $75 million under the prior buyback program.
- An MYR Group subsidiary signed a five-year, $500+ million Design-Build Electric Distribution Master Service Agreement with Xcel Energy, covering multiple states.
- MYR Group was added to the Russell 2000 Dynamic Index.
Valuation Changes
Summary of Valuation Changes for MYR Group
- The Consensus Analyst Price Target remained effectively unchanged, at $209.60.
- The Discount Rate for MYR Group remained effectively unchanged, at 8.25%.
- The Future P/E for MYR Group remained effectively unchanged, at 21.99x.
Disclaimer
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