Have you been paying attention to shares of Orion Marine Group (ORN)? Shares have been on the move with the stock up 35.4% over the past month. The stock hit a new 52-week high of $14.8 in the previous session. Orion Marine has gained 43.9% since the start of the year compared to the 15% move for the Zacks Construction sector and the 24.1% return for the Zacks Building Products - Heavy Construction industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on October 28, 2025, Orion Marine reported EPS of $0.09 versus consensus estimate of $0.06.
For the current fiscal year, Orion Marine is expected to post earnings of $0.35 per share on $848.09 in revenues. Meanwhile, for the next fiscal year, the company is expected to earn $0.7 per share on $900.13 in revenues. This represents a year-over-year change of 66.67% and 6.14%, respectively.
Valuation Metrics
Though Orion Marine has recently hit a 52-week high, what is next for Orion Marine? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Orion Marine has a Value Score of B. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 40.9X current fiscal year EPS estimates, which is a premium to the peer industry average of 27.7X. On a trailing cash flow basis, the stock currently trades at 13.9X versus its peer group's average of 26.2X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Orion Marine currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Orion Marine fits the bill. Thus, it seems as though Orion Marine shares could have a bit more room to run in the near term.
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Orion Group Holdings, Inc. (ORN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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