Dycom Industries Inc (DY) Stock Analysis
Verdict: BUY
Robust fiber infrastructure demand drives low 9.6x EV/EBITDA valuation, but high 1.48 D/E and 50% technical drawdown pose entry risk.
Investment score: 65/100
Analysis as of
Is Dycom Industries Inc stock worth reviewing? AI model thesis
Dycom presents a favorable risk-reward profile following a 50% pull-back from 52-week highs. Strong operational metrics (37.8% revenue growth, $401.7M FCF) and cheap multiple (9.64x EV/EBITDA) outweigh leverage risks for patient investors.
7-factor investment score
- Valuation: 68/100 (weight 20%)
- Financial Health: 72/100 (weight 15%)
- Technical Momentum: 35/100 (weight 15%)
- Earnings Quality: 85/100 (weight 15%)
- Insider Sentiment: 45/100 (weight 10%)
- Analyst Consensus: 85/100 (weight 10%)
- Risk-Adjusted Return: 62/100 (weight 15%)
Dycom Industries Inc opportunities and risks
What speaks for DY
- Deep valuation discount vs construction peers
What speaks against DY
- Customer concentration risk among top tier-1 telecom operators
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| DY | 25.7x | 1.2x | 9.6x | 19.0% | 4.8% | 5.5% |
| MTZ | 32.8x | 1.0x | 15.0x | 11.5% | 3.1% | 1.5% |
| APG | n/a | 1.9x | 21.1x | 29.3% | 4.1% | 4.3% |
| STRL | 35.0x | 4.4x | 20.8x | 23.6% | 12.5% | 3.2% |
| IESC | 28.1x | 3.2x | 21.3x | 25.9% | 11.4% | 1.8% |
| VMI | 18.8x | 2.2x | 14.7x | 30.4% | 11.7% | 3.5% |
| Peer median | 28.1x | 2.2x | 20.8x | 25.9% | 11.4% | 3.2% |
Frequently asked questions about Dycom Industries Inc (DY)
Is DY stock a good investment?
The cached TradeMates AI model rates Dycom Industries Inc as BUY with an investment score of 65/100. Dycom presents a favorable risk-reward profile following a 50% pull-back from 52-week highs. Strong operational metrics (37.8% revenue growth, $401.7M FCF) and cheap multiple (9.64x EV/EBITDA) outweigh leverage risks for patient investors. This is algorithmic model output, not personal investment advice.
Is DY stock a buy?
The TradeMates model verdict for DY is BUY with an investment score of 65/100. Treat this as a model signal to review, not a personal buy recommendation.