Everus Construction Group Inc

Everus Construction Group has completed its $295 million cash acquisition of Epsilon Industries, a maker of prefabricated mechanical and electrical systems, as part of its strategy to expand in modular construction. The deal, first disclosed on July 31, closed on September 1 and follows a quarter where Everus's revenue jumped 33.7% to $1.23 billion and diluted earnings per share rose 59.2% to $1.64. Backlog reached $4.55 billion, up 41% from the end of 2025, with the electrical and mechanical segment contributing $4.16 billion of that total. Everus funded the purchase with cash and new borrowings, marking its second acquisition this year after buying SE&M Constructors in the second quarter. Management raised full-year guidance to $4.5 billion to $4.7 billion in revenue and $410 million to $425 million in EBITDA, but the financial impact of Epsilon will not be detailed until third-quarter earnings.

Everus Construction Group was a notable contributor to the Wasatch Small Cap Growth Strategy in the second quarter of 2026. The company provides electrical and mechanical contracting services and power transmission and distribution construction, and continues to benefit from strong demand across data-center, high-tech, hospitality, and utility markets. Wasatch highlighted that current AI demands have already strained the electrical grid in a way that will require upgrades for the next 10 to 20 years, positioning Everus to benefit from those upgrades regardless of near-term AI capital expenditures. The stock closed at $129.99 per share on July 24, 2026, with a one-month return of 20.85% and a 52-week gain of 74.86%, and a market capitalization of $6.53 billion.

Zacks Market Edge podcast host Tracey Ryniec discussed three AI infrastructure stocks that have recently sold off, presenting potential buying opportunities. Sterling Infrastructure shares have fallen 22% over the last month, now trading at a forward P/E of 34, with earnings expected to rise 75.7% this year. Comfort Systems USA has dropped 11% in the past month, trading at a forward P/E of 39, and earnings are projected to jump 49.2% this year. Everus Construction Group declined 15% over the last month, with a forward P/E of 30 and expected earnings growth of 11.1% in 2026. Ryniec noted that these companies are involved in building, powering, and cooling data centers, benefiting from hyperscaler spending of over $1 trillion on AI capabilities this year.

Zacks Equity Research has identified United Rentals, Argan, Simpson Manufacturing, Everus Construction Group and Construction Partners as five building product stocks well-positioned to navigate industry headwinds. The Zacks Building Products - Miscellaneous industry, a 35-stock group within the broader Zacks Construction sector, currently carries a Zacks Industry Rank of 170, placing it in the bottom 31% of more than 250 Zacks industries. The industry faces pressure from elevated input costs, tariff-related uncertainty, high interest rates and housing affordability challenges, but sustained investment in infrastructure, power, grid modernization, data centers and advanced manufacturing is supporting healthy project pipelines. Resilient repair and remodeling activity and demand for premium, energy-efficient products are also helping companies maintain pricing power. Among the five highlighted stocks, Argan and Everus hold a Zacks Rank of 1, or Strong Buy, while United Rentals, Simpson and Construction Partners carry a Zacks Rank of 2, or Buy.

Wasatch Global Investors highlighted Everus Construction Group as a top contributor in its Small Cap Growth Strategy for the first quarter of 2026. The firm noted that Everus, a US-based contracting services company, reported record year-end backlog and profit and revenue growth that exceeded consensus expectations for the fourth quarter and full year 2025. Management pointed to strong demand and bidding activity across data centers, high-tech, hospitality, and utility markets. Wasatch believes demand for Everus's services will remain strong, particularly as data centers require increasing energy capacity to support the expansion of artificial intelligence. Everus Construction Group shares closed at $157.71 on June 18, 2026, with a one-month return of 6.09% and a 52-week gain of 166.49%, giving it a market capitalization of $8.05 billion.