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PRIM vs R

PRIM
Primoris Services Corporation
NEUTRAL
Price
$180.35
Market Cap
$9.78B
Sector
Industrials
AI Confidence
85%
R
Ryder System, Inc.
BEARISH
Price
$249.99
Market Cap
$9.67B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
PRIM
36.0
R
20.75
Forward P/E
PRIM
26.77
R
14.36
P/B Ratio
PRIM
5.8
R
3.23
P/S Ratio
PRIM
1.29
R
0.76
EV/EBITDA
PRIM
20.1
R
6.54

Profitability

Gross Margin
PRIM
10.73%
R
20.09%
Operating Margin
PRIM
4.17%
R
7.1%
Profit Margin
PRIM
3.63%
R
3.9%
ROE
PRIM
17.79%
R
16.93%
ROA
PRIM
6.01%
R
3.91%

Growth

Revenue Growth
PRIM
6.7%
R
-0.2%
Earnings Growth
PRIM
-2.9%
R
2.5%

Financial Health

Debt/Equity
PRIM
0.57
R
3.05
Current Ratio
PRIM
1.26
R
0.68
Quick Ratio
PRIM
1.16
R
0.58

Dividends

Dividend Yield
PRIM
0.18%
R
1.42%
Payout Ratio
PRIM
6.37%
R
29.4%

AI Verdict

PRIM NEUTRAL

Primoris Services Corporation exhibits stable financial health with a Piotroski F-Score of 6/9, but faces a severe valuation disconnect. The current price of $180.35 trades at a massive premium to both the Graham Number ($59.21) and the growth-based Intrinsic Value ($35.07). While the company maintains a strong ROE of 17.79% and a healthy Debt/Equity ratio of 0.57, the recent negative earnings growth (-2.90% YoY) and thin profit margins (3.63%) make the current P/E of 36.00 difficult to justify fundamentally.

Strengths
Strong Return on Equity (ROE) of 17.79%
Conservative leverage with a Debt/Equity ratio of 0.57
Consistent track record of beating earnings estimates (3/4 last 4 quarters)
Risks
Extreme overvaluation relative to deterministic fair value models
Negative earnings growth both YoY (-2.90%) and Q/Q (-4.20%)
Very thin net profit margins (3.63%) leaving little room for operational error
R BEARISH

Ryder System (R) presents a significant valuation disconnect, with a Piotroski F-Score of 4/9 indicating only stable health and a current price of $249.99 that vastly exceeds both the Graham Number ($144.89) and Intrinsic Value ($129.54). While the company has a strong track record of earnings beats, the fundamental health is hampered by a high Debt/Equity ratio of 3.05 and a concerning Current Ratio of 0.68. Aggressive insider selling by the CEO and President, combined with a bearish technical trend score, suggests a peak in price momentum despite recent 1-year gains.

Strengths
Consistent earnings beat track record over 25 quarters
Attractive PEG ratio of 0.86 suggesting growth is undervalued relative to P/E
Sustainable dividend payout ratio of 29.40%
Risks
Severe overvaluation relative to Graham and Intrinsic value baselines
Poor short-term liquidity with a Current Ratio of 0.68
High leverage with a Debt/Equity ratio of 3.05

Compare Another Pair

PRIM vs R: Head-to-Head Comparison

This page compares Primoris Services Corporation (PRIM) and Ryder System, Inc. (R) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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