DY: Raised Outlook And Completed Buyback Will Shape Future Performance

Analysts have marginally increased their price target on Dycom Industries to 385.56 dollars from 385.56 dollars, reflecting slightly refined assumptions on discount rates, revenue growth, profit margins, and future valuation multiples while maintaining an overall steady outlook.

What's in the News

• Dycom Industries raised its fiscal 2026 revenue outlook, now expecting total contract revenues of 5.350 billion to 5.425 billion dollars, implying 13.8% to 15.4% growth over the prior year (Corporate Guidance: Raised).
• The company issued quarterly guidance for the period ending January 31, 2026, projecting contract revenues between 1.26 billion and 1.34 billion dollars and diluted earnings per common share of 1.30 to 1.65 dollars (Corporate Guidance: New/Confirmed).
• Dycom reported completion of its previously announced share repurchase program, buying back 200,000 shares for 30.19 million dollars in total, representing approximately 0.69% of shares (Buyback Tranche Update).

Valuation Changes

• Fair Value: Remains effectively unchanged at approximately 385.56 dollars per share, indicating no material shift in the intrinsic valuation estimate.
• Discount Rate: Has fallen slightly from about 8.71% to 8.70%, reflecting a marginally lower perceived risk or cost of capital in the updated model.
• Revenue Growth: Is essentially unchanged, ticking up fractionally from approximately 18.51% to 18.51%, implying a stable outlook for top line expansion.
• Net Profit Margin: Has risen very slightly from about 5.98% to 5.98%, suggesting a nearly identical expectation for long term profitability.
• Future P/E: Has edged down marginally from around 26.96x to 26.95x, signaling a negligible adjustment to the assumed exit valuation multiple.