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Primoris Services (Primoris Services) Intrinsic Value: Projected FCF : $32.39 (As of Apr. 25, 2024)


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What is Primoris Services Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-25), Primoris Services's Intrinsic Value: Projected FCF is $32.39. The stock price of Primoris Services is $45.01. Therefore, Primoris Services's Price-to-Intrinsic-Value-Projected-FCF of today is 1.4.

The historical rank and industry rank for Primoris Services's Intrinsic Value: Projected FCF or its related term are showing as below:

PRIM' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.72   Med: 1.46   Max: 2.36
Current: 1.39

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Primoris Services was 2.36. The lowest was 0.72. And the median was 1.46.

PRIM's Price-to-Projected-FCF is ranked worse than
66.87% of 1138 companies
in the Construction industry
Industry Median: 0.915 vs PRIM: 1.39

Primoris Services Intrinsic Value: Projected FCF Historical Data

The historical data trend for Primoris Services's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Primoris Services Intrinsic Value: Projected FCF Chart

Primoris Services Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.01 31.45 32.28 30.65 32.39

Primoris Services Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.65 24.86 24.35 25.15 32.39

Competitive Comparison of Primoris Services's Intrinsic Value: Projected FCF

For the Engineering & Construction subindustry, Primoris Services's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Primoris Services's Price-to-Projected-FCF Distribution in the Construction Industry

For the Construction industry and Industrials sector, Primoris Services's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Primoris Services's Price-to-Projected-FCF falls into.



Primoris Services Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Primoris Services's Free Cash Flow(6 year avg) = $51.98.

Primoris Services's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*51.98464+1236.092*0.8)/54.379
=32.39

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Primoris Services  (NYSE:PRIM) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Primoris Services's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=45.01/32.39307971441
=1.39

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Primoris Services Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Primoris Services's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Primoris Services (Primoris Services) Business Description

Traded in Other Exchanges
Address
2300 N. Field Street, Suite 1900, Dallas, TX, USA, 75201
Primoris Services Corp is a specialty contractor and infrastructure company in the United States. It has three operating segments. The Utility segment specializes in a range of services, including the installation and maintenance of new and existing natural gas distribution systems, electric utility distribution and transmission systems, and communications systems. The pipeline segment constructs and maintains pipelines for the petroleum and petrochemical industries. The Energy/Renewables segment includes engineering, procurement, construction, retrofits, highway and bridge construction, demolition, and other services. The Energy/Renewables segment earns the majority of the revenue. Primoris earns most of its revenue in the U.S.
Executives
Thomas Edward Mccormick officer: Chief Operating Officer 2100 MCKINNEY AVE, SUITE 1500, DALLAS TX 75201
Stephen C. Cook director 7500 SAN FELIPE, STE. 600, HOUSTON TX 77063
David Lee King officer: Chief Operating Officer 2100 MCKINNEY AVE, SUITE 1500, DALLAS TX 75201
John M. Perisich officer: Senior VP and General Counsel, other: Member - see remark 26000 COMMERCENTRE DR., LAKE FOREST CA 92630
John Schauerman director, officer: Chief Financial Officer, other: Member - see remark 26000 COMMERCENTRE DR., LAKE FOREST CA 92630
Moreno John F Jr officer: Chief Operating Officer C/O PRIMORIS SERVICES CORPORATION, 2300 NORTH FIELD ST, SUITE 1900, DALLAS TX 75201
Michael E. Ching director C/O PRIMORIS SERVICES CORPORATION, 2300 N FIELD STREET, SUITE 1900, DALLAS TX 75201
Terry D Mccallister director 1100 H ST NW, WASHINGTON DC 20080
Jose Ramon Rodriguez director PRIMORIS SERVICES CORPORATION, 2300 NORTH FIELD STREET, SUITE 1900, DALLAS TX 75201
Thomas E. Tucker director 3 UPPER NEWPORT PLAZA DRIVE, NEWPORT BEACH CA 92660
Patricia K Wagner director 1720 NORTH FIRST STREET, SAN JOSE CA 95020
Kenneth Morris Dodgen officer: Corporate Controller 2100 MCKINNEY AVE, SUITE 1500, DALLAS TX 75201
Brian Pratt director, 10 percent owner, officer: Chairman, CEO & President, other: Member - see remark 5950 BERKSHIRE LANE, SUITE 800, DALLAS TX 75225
Carla S Mashinski director 8200 S. UNIT DRIVE, TULSA OK 74132
Travis L Stricker officer: Chief Accounting Officer 2103 RESEARCH FOREST DRIVE, THE WOODLANDS TX 77380