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    The Bull Case For Construction Partners (ROAD) Could Change Following Raised 2026 Guidance And Buybacks - Learn Why

    Simply Wall St·02/18/2026 05:25:06
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    • Construction Partners, Inc. recently reported first-quarter 2026 results showing sales of US$809.47 million and net income of US$17.21 million, and it raised full-year fiscal 2026 revenue and net income guidance while also completing a US$22.94 million share repurchase program announced in April 2024.
    • Alongside these financial updates, the company’s participation at the Barclays 43rd Annual Industrial Select Conference in Miami in February 2026 gave management an additional platform to explain its improved outlook and capital allocation to investors.
    • We’ll now examine how the raised fiscal 2026 guidance shapes Construction Partners’ existing investment narrative built around funding tailwinds and integration.

    Find 56 companies with promising cash flow potential yet trading below their fair value.

    Construction Partners Investment Narrative Recap

    To own Construction Partners, you need to believe its core story around sustained infrastructure spending, Sunbelt exposure, and benefits from vertical integration and acquisitions still holds. The raised fiscal 2026 revenue and net income guidance and stronger first quarter support that narrative in the near term, while the main ongoing risk remains its dependence on public funding cycles and regional conditions in its core markets, which this update does not fundamentally change.

    The most relevant update here is the higher full year fiscal 2026 guidance, with management now expecting revenue between US$3.48 billion and US$3.56 billion and net income between US$154.0 million and US$158.0 million. This sits alongside the completed US$22.94 million buyback and reinforces the current catalyst built around funding tailwinds and scaling benefits from recent acquisitions, which investors will be watching closely against potential budget or policy shifts in its key states.

    Yet investors should also be aware that if government infrastructure budgets tighten or shift focus, then...

    Read the full narrative on Construction Partners (it's free!)

    Construction Partners’ narrative projects $4.1 billion revenue and $286.4 million earnings by 2028.

    Uncover how Construction Partners' forecasts yield a $127.43 fair value, a 6% downside to its current price.

    Exploring Other Perspectives

    ROAD 1-Year Stock Price Chart
    ROAD 1-Year Stock Price Chart

    Three members of the Simply Wall St Community value Construction Partners between US$96.77 and US$167.14, highlighting very different views on upside and downside. Set against this, the company’s heavier reliance on public infrastructure funding could amplify those differences in outcomes if federal or state spending priorities change, so it is worth exploring several viewpoints before forming a view.

    Explore 3 other fair value estimates on Construction Partners - why the stock might be worth 28% less than the current price!

    Decide For Yourself

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.