MYRG AI Stock Analysis – Buy, Hold, or Avoid?
MYR Group Inc. (MYRG)
MYR Group (MYRG) is fundamentally strong with accelerating growth, robust margins, and sector tailwinds, but trades at a premium valuation with overbought technicals and moderate execution risks. Short-term technicals suggest caution due to overbought conditions, while medium- and long-term prospects remain positive if growth and margin expansion persist. Investors should monitor for pullbacks or signs of margin pressure before adding to positions.
Fundamentals
MYR Group Inc. (MYRG) has demonstrated strong financial growth and robust earnings momentum over the last year, reflecting substantial margin expansion and consistent outperformance relative to analyst expectations. Despite a high valuation, the company’s business fundamentals remain solid, with both top- and bottom-line acceleration fueling investor optimism.
Financial Highlights
- Revenue
- Net Income
- Net Margin (%)
Revenue
20.00% YoY
Q1 2026
Net Income
100.79% YoY
Q1 2026
Net Margin
Q1 2026
Growth Metrics
Revenue Growth YoY
Latest Quarter: Q1 2026
Net Income Growth YoY
Latest Quarter: Q1 2026
Revenue Per Share Growth YoY
Latest Quarter: Q1 2026
EPS Growth YoY
Latest Quarter: Q1 2026
Book Value Per Share Growth YoY
Latest Quarter: Q1 2026
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.0B | 973.5M | 950.4M | 900.3M | 833.6M | 829.8M | 888.0M | 828.9M |
| Revenue Growth YoY | +20.00% | +17.32% | +7.02% | +8.62% | +2.21% | -17.37% | -5.47% | -6.72% |
| Net Income | 46.8M | 36.5M | 32.1M | 26.5M | 23.3M | 16.0M | 10.6M | -15.3M |
| Net Income Growth YoY | +100.79% | +129.11% | +201.38% | +273.24% | +23.07% | -33.65% | -50.50% | -168.59% |
| EPS | $3.01 | $2.35 | $2.07 | $1.70 | $1.46 | $0.99 | $0.65 | -$0.91 |
| EPS Growth YoY | +106.16% | +137.37% | +218.46% | +286.81% | +29.20% | -31.25% | -49.61% | -168.42% |
Profitability Metrics
Gross Margin
TTM
Operating Margin
TTM
Net Margin
TTM
Return on Equity
TTM
Return on Assets
TTM
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 13.32% | 11.31% | 11.65% | 11.38% | 11.48% | 10.36% | 8.70% | 4.93% |
| Operating Margin | 6.38% | 4.67% | 4.71% | 4.35% | 3.98% | 3.63% | 2.29% | -2.50% |
| Net Margin | 4.68% | 3.75% | 3.38% | 2.94% | 2.80% | 1.92% | 1.20% | -1.84% |
| Return on Equity (ROE) | 6.66% | 5.53% | 5.20% | 4.54% | 4.25% | 2.66% | 1.81% | -2.41% |
| Return on Assets (ROA) | 3.14% | 2.51% | 2.20% | 1.90% | 1.75% | 1.15% | 0.76% | -1.10% |
Technical Analysis
MYRG is currently in a strong uptrend, trading near its 52-week high with robust technical momentum as indicated by a bullish ADX and golden cross in moving averages. The stock is overbought as per RSI readings, signaling potential short-term selling pressure despite sustained buying interest. Key support lies around $426 and $328, while resistance approaches pivot near $463-$476 levels.
Watch for pullback
Price in uptrend
Strong trend active
50 above 200 - bullish
Key Technical Values
Price with Moving Averages
50-day, 150-day and 200-day simple moving averages
Relative Strength Index
Momentum oscillator measuring speed and magnitude of price changes
RSI (14)
Earnings
MYR Group Inc. (MYRG) has demonstrated strong financial growth and robust earnings momentum over the last year, reflecting substantial margin expansion and consistent outperformance relative to analyst expectations. Despite a high valuation, the company’s business fundamentals remain solid, with both top- and bottom-line acceleration fueling investor optimism.
Latest Earnings
Q1 2026 Earnings (Mar 31, 2026)
Earnings Per Share (EPS)
Actual
$2.99
Estimated
$2.09
Surprise
+$0.90
Surprise %
+43.06%
Revenue
Actual
$1B
Estimated
$932.45M
Surprise
+$67.93M
Surprise %
+7.28%
Historical Earnings
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Earnings Per Share | ||||||||
| EPS (Actual) | $2.99 | $2.33 | $2.05 | $1.70 | $1.45 | $0.99 | $0.65 | $-0.91 |
| EPS (Estimated) | $2.09 | $1.73 | $1.82 | $1.56 | $1.23 | $0.75 | $0.35 | $1.07 |
| EPS Surprise | +$0.90 | +$0.60 | +$0.23 | +$0.14 | +$0.22 | +$0.24 | +$0.30 | -$1.98 |
| % Diff | +43.1% | +34.7% | +12.6% | +9.0% | +17.9% | +32.0% | +85.7% | -185.0% |
| Revenue | ||||||||
| Revenue (Actual) | $1B | $973.54M | $950.4M | $900.33M | $833.62M | $829.8M | $888.04M | $828.89M |
| Revenue (Estimated) | $932.45M | $897.95M | $897.73M | $935.32M | $785.93M | $887.55M | $887.55M | $876.07M |
| Revenue Surprise | +$67.93M | +$75.59M | +$52.67M | -$35M | +$47.69M | -$57.76M | +$489.4K | -$47.18M |
| % Diff | +7.3% | +8.4% | +5.9% | -3.7% | +6.1% | -6.5% | +0.1% | -5.4% |
Valuation
MYR Group (MYRG) shows strong top-line growth and improving profitability metrics alongside a premium valuation. While recent earnings and backlog growth support a growth narrative, its valuation multiples are high compared to peers and historical levels, suggesting a cautious approach. Analyst consensus leans towards a moderate buy, reflecting confidence tempered by valuation risks.
Valuation Metrics
Price to Earnings
TTM
Price to Sales
TTM
Price to Book
TTM
Enterprise Value to EBITDA
TTM
Enterprise Value to Revenue
TTM
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Price to Earnings | 23.43 | 23.21 | 25.16 | 26.61 | 19.40 | 37.60 | 39.08 | -36.44 |
| Price to Sales | 4.39 | 3.49 | 3.40 | 3.13 | 2.17 | 2.89 | 1.87 | 2.69 |
| Price to Book | 6.24 | 5.14 | 5.23 | 4.83 | 3.30 | 4.00 | 2.83 | 3.52 |
| Enterprise Value to EBITDA | 52.54 | 53.36 | 53.22 | 52.73 | 39.08 | 55.15 | 48.19 | -500.70 |
| Enterprise Value to Revenue | 4.28 | 3.44 | 3.44 | 3.25 | 2.32 | 3.03 | 2.02 | 2.79 |
Sentiment & Analyst Ratings
MYR Group (MYRG) sentiment is predominantly positive following strong Q1 2026 financial results including record revenue, net income, and backlog growth. Analyst consensus leans towards a moderate buy with supportive price targets, while technical indicators suggest upward momentum. Market enthusiasm is fueled by infrastructure investment demand and solid earnings performance, although news sentiment remains somewhat muted compared to sector peers.
Analyst Recommendations
Risk Assessment
MYR Group Inc. demonstrates a solid financial position with manageable leverage and strong earnings growth supported by a robust backlog. Key risks include execution challenges on fixed-price contracts, supply chain issues, and margin pressure, but the company benefits from favorable industry demand and expanding margins. Valuation concerns and sector-specific risks suggest moderate caution despite positive operational momentum.
Liquidity & Solvency
Current Ratio
Latest Quarter: Q1 2026
Quick Ratio
Latest Quarter: Q1 2026
Debt-to-Equity
Latest Quarter: Q1 2026
Debt-to-Assets
Latest Quarter: Q1 2026
| Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | |
|---|---|---|---|---|---|---|---|---|
| Liquidity Metrics | ||||||||
| Current Ratio | 1.31 | 1.33 | 1.33 | 1.33 | 1.31 | 1.35 | 1.35 | 1.36 |
| Quick Ratio | 1.31 | 1.33 | 1.33 | 1.33 | 1.31 | 1.35 | 1.35 | 1.36 |
| Solvency Metrics | ||||||||
| Debt-to-Equity | 0.09 | 0.16 | 0.19 | 0.23 | 0.24 | 0.20 | 0.23 | 0.14 |
| Debt-to-Assets | 0.04 | 0.06 | 0.07 | 0.08 | 0.09 | 0.08 | 0.09 | 0.06 |
Liquidity Assessment
Current Ratio: 1.31(Adequate)
Quick Ratio: 1.31(Strong)
The company has adequate liquidity but may face challenges in a downturn.
Solvency Assessment
Debt-to-Equity: 0.09(Low)
Debt-to-Assets: 0.04(Low)
The company has conservative debt levels, indicating low financial risk and strong long-term solvency.
Frequently Asked Questions about MYRG
AI Answers: Common Questions About MYRG
Get AI-powered answers to the questions investors ask most about MYR Group Inc.
MYRG is fundamentally strong and benefits from secular infrastructure trends, but with a P/E of 48.17 and EV/EBITDA over 50, it is trading at a significant premium to peers. The stock is also technically overbought (RSI 70.8) and near major resistance, so new buyers may want to wait for a pullback toward support ($426-$430) before entering.
If you already own MYRG, there is no urgent reason to sell as fundamentals remain robust and momentum is positive, but consider trimming if you are risk-averse or overexposed, given the overbought technicals and elevated valuation. Watch for any signs of margin pressure or failed backlog conversion as potential sell signals.
The biggest risks are valuation-driven: with a P/E of 48.17 and price-to-book near 6, any slowdown in growth or margin expansion could lead to multiple compression. Execution risk on fixed-price contracts and sector cyclicality (beta ~1.3) also pose threats, though the company's low leverage (debt/equity ~0.09) limits financial risk.
Short-term resistance is at $463-$476, with support at $426 and $328; analyst targets are around $350-$351, which is below the current price, suggesting limited upside unless new catalysts emerge. Technically, a pullback to support is likely before any sustained move higher.
MYRG is overvalued relative to peers and its own history, with a P/E of 48.17 (vs. sector average ~32), EV/EBITDA over 50, and price-to-book near 6. While growth justifies some premium, current multiples price in aggressive future performance and leave little margin for error.
Fundamentally, MYRG is very strong: revenue grew 20% YoY in Q1 FY26, EPS more than doubled, gross margin rose to 13.3%, and net margin quadrupled to 4.7%. The balance sheet is healthy with low leverage and strong liquidity, and growth is primarily organic.
Technically, MYRG is in a strong uptrend with a golden cross and bullish momentum, but the RSI at 70.8 indicates overbought conditions and risk of a near-term pullback. Key support is at $426, with resistance at $463-$476; best entries are on pullbacks toward support.
Key catalysts include upcoming earnings reports (which have consistently beaten expectations), new large contract awards, and any government infrastructure stimulus. Watch for updates on backlog growth and margin trends as signals for continued outperformance.
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