Vulcan to Report Q1 Earnings: What to Expect From the Stock?

Vulcan Materials Company VMC is scheduled to release first-quarter 2025 results on April 30, before the opening bell.

In the last reported quarter, the company’s adjusted earnings and revenues surpassed the Zacks Consensus Estimate by 23.3% and 1.4%, respectively. On a year-over-year basis, both metrics increased 48.6% and 1.1%.

Vulcan’s earnings topped the consensus mark in two of the last four quarters and missed on the other two occasions, with an average surprise of 4.6%.

How are Estimates Placed for Vulcan Stock?

The Zacks Consensus Estimate for VMC’s first-quarter earnings per share has remained unchanged at 80 cents over the past 30 days. The estimated figure remains flat on a year-over-year basis. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

Vulcan Materials Company Price and EPS Surprise

Vulcan Materials Company price-eps-surprise | Vulcan Materials Company Quote

The consensus estimate for revenues is pegged at $1.68 billion, indicating an 8.7% year-over-year increase.

Factors Influencing VMC’s Q1 Results

Vulcan's first-quarter revenues are anticipated to have experienced a year-over-year increase, driven by strong pricing gains across its product lines, recent acquisitions and stable demand in the legacy business. Continued expansion in public construction activity is expected to have offset a more moderate decline in private construction. Also, recent trends in warehouse starts and data centers have been encouraging.

The company’s strong pricing power is attributable to Vulcan Way of Selling discipline, which has enabled it to consistently expand cash gross profit per ton, even in quarters with declining volumes.

The Aggregates business, including crushed stone, sand and gravel and other aggregates (which accounted for 74% of total 2024 revenues), has been a major contributor to top-line growth. Our model expects net sales from the segment to grow 10.8% to $1.43 billion from a year ago. We also predict Aggregates volumes and Aggregates price to increase 3.9% and 6.8%, respectively, in the quarter.

Our model anticipates net sales from the Asphalt Mix segment (which accounted for 17% of total revenues) to be $195.5 million, indicating 5% growth from a year ago. We also predict volumes for the Asphalt Mix unit to grow 2.2% and prices to increase 2.8% year over year.

However, lower shipments in the Concrete segment, decline in private non-residential construction and adverse weather conditions are likely to have hurt the company’s top line in the to-be-reported quarter.

We anticipate revenues from the Concrete segment (which accounted for 9% of total revenues) to decline 10.9% to $132.1 million from a year ago. Concrete volumes are expected to decline 12.2%, but Concrete prices are expected to grow 1.5% year over year.

Meanwhile, higher cost inflation, the shortage of skilled labor and rising wage expenses are expected to have affected VMC’s first-quarter margins to some extent. The company remains focused on improving operational efficiencies through the Vulcan Way of Operating.

What the Zacks Model Unveils for VMC

Our proven model does not conclusively predict an earnings beat for Vulcan this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.

VMC's Earnings ESP: Vulcan has an Earnings ESP of -5.39%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

VMC's Zacks Rank: The company currently carries a Zacks Rank #3.

Stocks With the Favorable Combination

Here are some companies in the Zacks Construction sector that, according to our model, have the right combination of elements to post an earnings beat in the quarter to be reported.

Dream Finders Homes DFH has an Earnings ESP of +19.01% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

With the average negative surprise of 4.4%, Dream Finders’ earnings beat estimates in two of the last four quarters and missed on the other two occasions. Dream Finders’ earnings for the first quarter of 2025 are expected to increase 10.9%.

MasTec, Inc. MTZ has an Earnings ESP of +0.85% and a Zacks Rank of 3.

With the average surprise of 31.6%, MasTec’s earnings beat estimates in each of the last four quarters. MasTec’s earnings for the quarter to be reported are expected to increase 361.5%.

Martin Marietta Materials, Inc. MLM currently has an Earnings ESP of +1.66% and a Zacks Rank of 3.

With the average negative surprise of 1.7%, Martin Marietta Materials’ earnings beat estimates in two of the last four quarters and missed twice. Martin Marietta Materials’ earnings for the quarter to be reported are expected to decrease 0.5%.

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This article originally published on Zacks Investment Research (zacks.com).

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