Operating Margin

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Price: 151.71 USD 0.86% Market Closed

Market Cap: $8.2B

5.7%

Improving

by 0.9%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

5.7%

Operating Income

$424.4m

Revenue

$7.5B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

5.7%

Operating Income

$424.4m

Revenue

$7.5B

Peer Comparison

Country		Company	Market Cap	Operating Margin
US	P	Primoris Services Corp NYSE:PRIM	8.2B USD	Loading...
US		Quanta Services Inc NYSE:PWR	71.2B USD	Loading...
FR		Vinci SA PAR:DG	66.5B EUR	Loading...
IN		Larsen and Toubro Ltd F:LTO	47.9B EUR	Loading...
IN		Larsen & Toubro Ltd NSE:LT	5.2T INR	Loading...
ES		Ferrovial SA MAD:FER	41.2B EUR	Loading...
NL		Ferrovial SE AEX:FER	41.1B EUR	Loading...
US		Comfort Systems USA Inc NYSE:FIX	40.8B USD	Loading...
DE	H	Hochtief AG XETRA:HOT	27.2B EUR	Loading...
US		EMCOR Group Inc NYSE:EME	32.1B USD	Loading...
CN	C	China State Construction Engineering Corp Ltd SSE:601668	208.7B CNY	Loading...

Market Distribution

Min	-4 087 900%
30th Percentile	-5.1%
Median	6%
70th Percentile	14.8%
Max	1 032 600%

Other Profitability Ratios

Primoris Services Corp
Glance View

Economic Moat

None

Market Cap

8.2B USD

Industry

Construction

Primoris Services Corporation has carved a distinctive niche in the infrastructure sector, offering an intriguing blend of capabilities that cater to a broad spectrum of client needs across North America. Founded in 1960, the company has grown through strategic acquisitions and organic development, evolving into a major player in engineering, construction, and infrastructure maintenance. Its operations are divided into segments that provide tailored services in utilities, energy, and industrial fields. At the core of Primoris’s operations is an integrated approach, allowing the company to deliver comprehensive solutions from project conception through to execution and maintenance. From pipeline construction and power plant development to highway and water management systems, Primoris's diverse service offerings underpin its robust market presence. Revenue generation at Primoris hinges on its adeptness at securing and executing large-scale contracts across diverse projects. By leveraging expertise in specialized areas such as engineering design and heavy civil construction, the company forms long-lasting relationships with public agencies and private enterprises, ensuring a steady stream of projects. These contracts often stem from long-term partnerships, government grants, and recurring client engagements, facilitating a stable and predictable cash flow. The company's strategy of aligning itself with government infrastructure programs and the growing needs of energy and utility providers positions it well in an industry that's consistently evolving. While Primoris operates in a competitive market, its expansive range of services and commitment to quality and safety allow it to maintain a strong foothold and capitalize on growth opportunities.

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PRIM Intrinsic Value

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What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Primoris Services Corp
NYSE:PRIM

Peer Comparison

Market Distribution

Other Profitability Ratios

Primoris Services Corp
Glance View

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52 Week Range	52.66 151.71
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Primoris Services Corp NYSE:PRIM