Construction PartnersROAD -2.35%91 ROE % is 3.77% as of Mar. 2026, which is 71% below its 10-year median of 13.03. GuruFocus rates ROAD with a GF Score™ of 91/100 and a GF Value™ of $120.83 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,743 Construction companies, Construction Partners ranks better than 74.58% on this metric.
The historical rank and industry rank for Construction Partners's ROE % or its related term are showing as below:
ROAD'
s ROE % Range Over the Past 10 Years
Min: 4.94 Med: 13.03 Max: 22.49
Current: 14.04
During the past 10 years, Construction Partners's highest ROE % was 22.49%. The lowest was 4.94%. And the median was 13.03%.
ROAD's ROE % is ranked better than 74.58% of 1743
companies
in the Construction industry
Industry Median: 6.69
vs ROAD: 14.04
Construction Partners (NAS:ROAD) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
* 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.
For the Engineering & Construction subindustry, Construction Partners's ROE %, along with its competitors' market caps and ROE % 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.
Construction Partners ROE % vs Construction Industry
For the Construction industry and Industrials sector, Construction Partners's ROE % distribution charts can be found below:
* The bar in red indicates where Construction Partners's ROE % falls into.
* 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Construction Partners (ROAD) has a ROE % of 3.77% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Construction Partners and its competitors. This is 71% below median its historical median of 13.03. Over the past decade, Construction Partners' ROE % has ranged from 4.94 to 22.49. According to the industry distribution chart, Construction Partners ranks #443 out of 1743 companies in the Construction industry, placing it in the top 25.4%.
Is Construction Partners' ROE % too high?
Construction Partners' current ROE % of 3.77% is 71% below median its 10-year median of 13.03. Over the past 10 years, this metric has ranged from a low of 4.94 to a high of 22.49. The Construction industry median ROE % is 6.69. Construction Partners' value of 3.77% is 43.6% below this industry median. Based on the distribution chart, Construction Partners ranks #443 out of 1743 companies in the Construction industry, which is above the industry midpoint. Overall, Construction Partners has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Construction Partners' ROE % compare to LGN and FLR?
According to the Construction industry distribution chart, Construction Partners ranks #443 out of 1743 companies for ROE %. This puts Construction Partners in the upper half of its industry. The industry median ROE % is 6.69. Construction Partners' value of 3.77% is 43.6% below this benchmark. Historically, Construction Partners' own ROE % has ranged from 4.94 to 22.49 over the past decade. While the company's 10-year median is 13.03 vs. the industry median of 6.69, Construction Partners has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Construction company?
The median ROE % among Construction companies is 6.69, based on 1,743 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Construction Partners's current ROE % of 3.77% is 43.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Construction Partners and its competitors. For the Construction industry, the median ROE % is 6.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Construction Partners's current ROE % is 3.77%, which is 71% below median its own 10-year median of 13.03. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Construction Partners stock overvalued right now?
Based on GuruFocus' analysis, Construction Partners (ROAD) is currently considered Fairly Valued. The stock's GF Value™ is $120.83, compared to a current price of $122.53 — trading 1.4% above its estimated fair value. The current ROE % is 3.77%, which is 71% below median its 10-year median of 13.03 and 43.6% below the Construction industry median of 6.69. Construction Partners' overall GF Score™ is 91/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Construction Partners (ROAD), the current ROE % is 3.77% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Construction Partners (ROAD) Overvalued in 2026?
Based on GuruFocus' analysis, Construction Partners stock appears to be overvalued.
The current stock price of $122.53 is trading 1.4% above its estimated GF Value™ of $120.83.
GuruFocus considers Construction Partners to be Fairly Valued.
Key valuation signals for ROAD:
ROE %: 3.77% (71% below median its 10-year median of 13.03)
GF Value™: $120.83 vs. price of $122.53 (1.4% above fair value)
Industry Position: 43.6% below the Construction median (#443 of 1743)
No single metric tells the full story. See the ROAD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Construction Partners Inc operates as a civil infrastructure company. It specializes in the construction and maintenance of roadways. The company through its subsidiaries, provides various products and services to both public and private infrastructure projects, with an emphasis on highways, roads, bridges, airports, and commercial and residential developments. Its operations consist of manufacturing and distributing hot mix asphalt, paving activities, including the construction of roadway base layers and application of asphalt pavement, site development, including the installation of utility and drainage systems, and others. The company has a single segment which predominantly consists of infrastructure and road construction, and operates across various states in the United States.
91GF Score
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