Specialty construction contractor company EMCOR (NYSE:EME) will be reporting earnings tomorrow before market open. Here’s what investors should know.

EMCOR missed analysts’ revenue expectations by 2% last quarter, reporting revenues of $3.70 billion, up 15.3% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EBITDA estimates.

Is EMCOR a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting EMCOR’s revenue to grow 10.3% year on year to $3.79 billion, slowing from the 16.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $5.76 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. EMCOR has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 2.1% on average.

Looking at EMCOR’s peers in the construction and engineering segment, some have already reported their Q4 results, giving us a hint as to what we can expect. AECOM delivered year-on-year revenue growth of 2.9%, missing analysts’ expectations by 2.3%, and Construction Partners reported revenues up 41.6%, topping estimates by 9.7%. AECOM’s stock price was unchanged after the resultswhile Construction Partners was down 3.6%.

Read our full analysis of AECOM’s results here and Construction Partners’s results here.

Stocks, especially growth stocks where cash flows further in the future are more important to the story, have had a good 2024. An economic soft landing (so far), the start of the Fed's rate cutting campaign, and the election of Donald Trump were positives for the market, and while some of the construction and engineering stocks have shown solid performance, the group has generally underperformed, with share prices down 7.4% on average over the last month. EMCOR is down 9% during the same time and is heading into earnings with an average analyst price target of $537 (compared to the current share price of $390.11).

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