MYR Group Inc. Common Stock (MYRG)
Fast GrowerFairStock Score: 49/100 — MIXED
Key Financials
| Current Price | $467.46 |
| Market Cap | $5.3B |
| P/E Ratio | 51.43 |
| ROE | 22.68% |
| Dividend Yield | —% |
| Sector | Industrials |
Strengths
- Generates $231 million in annual free cash flow (4.4% yield on market cap)
- Strong Piotroski F-Score of 7/9 indicating robust financial health across profitability, leverage, and efficiency metrics
- Solid return on equity of 18.8% above cost of capital
- Conservative balance sheet with debt-to-equity of just 0.16, providing financial flexibility
- Altman Z-Score of 4.5 confirms minimal bankruptcy risk and strong solvency
Concerns
- Trades significantly above Graham Number ($85) with negative 302% margin of safety—limited downside protection
AI Analysis
MYR Group Inc. Common Stock is a small-cap industrials company valued at $5.3 billion. The business generates $3.7 billion in annual revenue with a 1.0% net margin and $231 million in free cash flow. From a quality standpoint, MYR shows solid Piotroski F-Score of 7/9 and healthy Altman Z-Score of 4.5. On valuation, the stock is commanding a steep 44.8x multiple, with trades far above its Graham Number ($85) with no margin of safety. Growth dynamics show revenue growing at 17.3% and profit growth of 129.1%. Our composite FairStock Score of 49/100 reflects mixed fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.
Bull Case
MYR's 17% revenue growth trajectory could accelerate as it captures additional market share in the industrials sector. With $231 million in annual free cash flow (4.4% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.
Bear Case
At 45x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.
Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer