EMCOR Group
Market Cap
US$3.2b
Last Updated
2020/04/05 01:11 UTC
Data Sources
Company Financials +
Executive Summary
EMCOR Group, Inc. provides electrical and mechanical construction, and facilities services in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet and good value.
Similar Companies
Share Price & News
How has EMCOR Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EME's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-3.1%
EME
1.2%
US Construction
-2.0%
US Market
1 Year Return
-25.7%
EME
-27.0%
US Construction
-15.1%
US Market
Return vs Industry: EME matched the US Construction industry which returned -23.1% over the past year.
Return vs Market: EME underperformed the US Market which returned -13.6% over the past year.
Shareholder returns
| EME | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.1% | 1.2% | -2.0% |
| 30 Day | -27.1% | -27.3% | -19.7% |
| 90 Day | -34.8% | -30.9% | -23.2% |
| 1 Year | -25.4%-25.7% | -26.4%-27.0% | -13.4%-15.1% |
| 3 Year | -9.7%-10.8% | -25.1%-26.8% | 10.9%3.7% |
| 5 Year | 24.1%20.9% | -8.7%-12.1% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is EMCOR Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did EMCOR Group, Inc.'s (NYSE:EME) Recent Earnings Growth Beat The Trend?2 weeks ago | Simply Wall St
Trade Alert: The Independent Director Of EMCOR Group, Inc. (NYSE:EME), John Altmeyer, Has Just Spent US$59k Buying Shares3 weeks ago | Simply Wall St
What Is EMCOR Group's (NYSE:EME) P/E Ratio After Its Share Price Tanked?Valuation
Is EMCOR Group undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EME ($56.6) is trading below our estimate of fair value ($125.1)
Significantly Below Fair Value: EME is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: EME is good value based on its PE Ratio (9.8x) compared to the Construction industry average (11.5x).
PE vs Market: EME is good value based on its PE Ratio (9.8x) compared to the US market (12.9x).
Price to Earnings Growth Ratio
PEG Ratio: EME is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: EME is overvalued based on its PB Ratio (1.5x) compared to the US Construction industry average (1.3x).
Next Steps
Future Growth
How is EMCOR Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
3.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EME's forecast earnings growth (3% per year) is above the savings rate (1.7%).
Earnings vs Market: EME's earnings (3% per year) are forecast to grow slower than the US market (12.3% per year).
High Growth Earnings: EME's earnings are forecast to grow, but not significantly.
Revenue vs Market: EME's revenue (2.5% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: EME's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EME's Return on Equity is forecast to be low in 3 years time (16.6%).
Next Steps
Past Performance
How has EMCOR Group performed over the past 5 years?
15.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EME has high quality earnings.
Growing Profit Margin: EME's current net profit margins (3.5%) are higher than last year (3.5%).
Past Earnings Growth Analysis
Earnings Trend: EME's earnings have grown by 15.3% per year over the past 5 years.
Accelerating Growth: EME's earnings growth over the past year (13.7%) is below its 5-year average (15.3% per year).
Earnings vs Industry: EME earnings growth over the past year (13.7%) underperformed the Construction industry 23.5%.
Return on Equity
High ROE: EME's Return on Equity (15.8%) is considered low.
Next Steps
Financial Health
How is EMCOR Group's financial position?
Financial Position Analysis
Short Term Liabilities: EME's short term assets ($2.7B) exceed its short term liabilities ($1.9B).
Long Term Liabilities: EME's short term assets ($2.7B) exceed its long term liabilities ($834.0M).
Debt to Equity History and Analysis
Debt Level: EME's debt to equity ratio (14.7%) is considered satisfactory.
Reducing Debt: EME's debt to equity ratio has reduced from 23.5% to 14.7% over the past 5 years.
Debt Coverage: EME's debt is well covered by operating cash flow (117.6%).
Interest Coverage: EME's interest payments on its debt are well covered by EBIT (40.1x coverage).
Balance Sheet
Inventory Level: EME has a low level of unsold assets or inventory.
Debt Coverage by Assets: EME's debt is covered by short term assets (assets are 8.8x debt).
Next Steps
Dividend
What is EMCOR Group's current dividend yield, its reliability and sustainability?
0.57%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EME's dividend (0.57%) isn’t notable compared to the bottom 25% of dividend payers in the US market (2%).
High Dividend: EME's dividend (0.57%) is low compared to the top 25% of dividend payers in the US market (5.56%).
Stability and Growth of Payments
Stable Dividend: EME is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: EME is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: EME is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of EME's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.3yrs
Average management tenure
CEO
Tony Guzzi (55yo)
9.25s
Tenure
US$10,053,185
Compensation
Mr. Anthony J. Guzzi, also known as Tony, has been the President and Chief Executive Officer of EMCOR Group Inc., since October 25, 2004 and January 3, 2011 respectively and also has been its Chairman sinc ...
CEO Compensation Analysis
Compensation vs Market: Tony's total compensation ($USD10.05M) is above average for companies of similar size in the US market ($USD5.63M).
Compensation vs Earnings: Tony's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 9.25yrs | US$10.05m | 0.65% $20.5m | |
| Executive VP | 14yrs | US$4.28m | 0.25% $7.8m | |
| Senior VP | 4.25yrs | US$2.29m | 0.049% $1.5m | |
| Executive Vice President of Shared Services | 24yrs | US$3.23m | 0.39% $12.2m | |
| Vice President of Compliance | 5.42yrs | no data | no data | |
| Vice President of Human Resources | 7.33yrs | no data | no data | |
| President of Commercial Site Services | 6.25yrs | no data | no data | |
| CEO & President of EMCOR Construction Services | no data | no data | no data | |
| CEO & President of EMCOR Building Services | no data | no data | no data | |
| Chief Executive Officer of EMCOR UK | 11.42yrs | no data | no data |
8.3yrs
Average Tenure
55yo
Average Age
Experienced Management: EME's management team is seasoned and experienced (9.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 9.25yrs | US$10.05m | 0.65% $20.5m | |
| Independent Lead Director | 1.83yrs | US$340.00k | 0.026% $813.5k | |
| Director | 2.5yrs | US$360.00k | 0.057% $1.8m | |
| Independent Director | 25.33yrs | US$370.00k | 0.036% $1.1m | |
| Independent Director | 21.83yrs | US$370.00k | 0.056% $1.8m | |
| Independent Director | 11.33yrs | US$365.00k | 0.15% $4.9m | |
| Independent Director | 5.5yrs | US$370.00k | 0.050% $1.6m | |
| Independent Director | 2.83yrs | US$365.00k | no data | |
| Independent Director | 1.33yrs | US$90.00k | 0.0025% $77.9k | |
| Independent Director | 4.5yrs | US$365.00k | 0.021% $660.5k |
3.7yrs
Average Tenure
64.5yo
Average Age
Experienced Board: EME's board of directors are considered experienced (3.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EME insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
EMCOR Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: EMCOR Group, Inc.
- Ticker: EME
- Exchange: NYSE
- Founded:
- Industry: Construction and Engineering
- Sector: Capital Goods
- Market Cap: US$3.154b
- Shares outstanding: 56.26m
- Website: https://www.emcorgroup.com
Number of Employees
Location
- EMCOR Group, Inc.
- 301 Merritt Seven
- Norwalk
- Connecticut
- 06851-1092
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EME | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jul 1995 |
| EM4 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jul 1995 |
Biography
EMCOR Group, Inc. provides electrical and mechanical construction, and facilities services in the United States. The company designs, integrates, installs, starts-up, operates, and maintains electric power transmission and distribution systems; premises electrical and lighting systems; process instrumentation in the refining, chemical and food processing, and mining industries; low-voltage, voice and data communications, fire protection, water and wastewater treatment, controls and filtration, central plant heating and cooling, plumbing, process, and piping systems; roadway and transit lighting, and fiber-optic lines; and heating, ventilation, air conditioning, refrigeration, and clean-room process ventilation systems. The company also offers crane, rigging, and millwright services; and steel fabrication, erection, and welding services. In addition, it provides building services to commercial and government site-based operations and maintenance; facility maintenance and services; outage services to utilities and industrial plants; military base operations support; mobile mechanical maintenance and services; floor care and janitorial; landscaping, lot sweeping, and snow removal; facilities and vendor management; call center; building systems installation and support; modification and retrofit; infrastructure and building projects; and energy systems program development, management, and maintenance services. Further, the company offers industrial services for refineries and petrochemical plants, such as on-site repair, maintenance, and service of heat exchangers, towers, vessels, and piping; design, manufacture, repair, and hydro blast cleaning of shell and tube heat exchangers, and related equipment; refinery turnaround planning and engineering, specialty welding and technical services; and critical process unit overhaul and maintenance. EMCOR Group, Inc. is headquartered in Norwalk, Connecticut.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/05 01:11 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.