Start here if you're new
what it is
Centuri builds and maintains electric, gas, and transmission networks for regulated utilities.
how it gets paid
Last year Centuri made $3.0B in revenue. Electric distribution was the main engine at $1.5B, or 50% of sales.
why it's growing
Revenue grew 13.1% last year. 7.8% gross margin is the tell. Centuri is growing sales faster than profit.
what just happened
Revenue hit $2.1B, but EPS was -$0.09.
At a glance
n/a balance sheet
134.5x trailing p/e — you're paying up for this one
3.9% return on capital — nothing to write home about
$0.25 fy2025 eps est
$2B fy2026 rev est
What they do
Centuri builds and maintains electric, gas, and transmission networks for regulated utilities.
Centuri works for regulated utilities, and they keep handing it work. January 2026 brought more than $870M in bookings, then February added more than $300M. You are buying access to utility spending, and 9,687 employees are how Centuri shows up on schedule.
How they make money
$3.0B
annual revenue · their business grew +13.1% last year
Electric distribution
$1.5B
Gas distribution
$0.9B
Transmission and utility-scale work
$0.6B
The products that matter
pipeline construction and maintenance
Gas Utility Infrastructure
$1.8B · roughly 60% of revenue
it's the bigger segment at $1.8B, and its 12% growth tells you gas utility work is still the core earnings engine.
largest segment
power line construction and maintenance
Electric Utility Infrastructure
$1.2B · +15% growth
this $1.2B segment grew faster than gas, which makes it the cleaner read on whether grid modernization spending is real.
faster growth
newly awarded project pipeline
Commercial Awards Backlog
$300M · feb 2026 awards
the $300M in new awards is future work, not current profit. it matters because this stock needs backlog to turn into cleaner earnings, not just headlines.
catalyst watch
Key numbers
134.5x
trailing p/e
You are paying $134.50 for each $1 of trailing earnings. That is steep for a 7.8% margin business.
7.8%
operating margin
For every $100 of sales, Centuri keeps $7.80 before interest and taxes. Thin margins leave little room for mistakes.
3.9%
return on capital
Management earns $3.90 on each $100 invested. That is a weak payoff for an infrastructure business.
$708M
long-term debt
Debt equals 19% of capital. That is not fatal, but it makes low margins feel heavier.
Financial health
n/a
strength
- balance sheet grade n/a
- long-term debt $708M (19% of capital)
n/a — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for CTRI right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Revenue hit $2.1B, but EPS was -$0.09.
Revenue jumped 150% vs. prior year. Gross margin held at 7.8%, so scale came before profit.
$2.1B
revenue
-$0.09
eps
7.8%
gross margin
gross margin
7.8% gross margin is the tell. Centuri is growing sales faster than profit.
source: company earnings report, 2026
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What could go wrong
the #1 risk is margin slippage on utility infrastructure contracts. when you only keep 7.8% at the operating line, small mistakes stop being small.
high
Execution risk on thin margins
Centuri operates at a 7.8% operating margin. Cost overruns, project delays, or poor bid discipline can erase profit faster than revenue growth can replace it.
A 1% margin compression on roughly $2.98B of annual revenue would wipe out about $30M of operating income.
high
Valuation reset risk
The stock is up 86% in a year and trades at 134.5x trailing earnings. That leaves very little room for another earnings miss or a slowdown in contract conversion.
You do not need a collapse for the stock to re-rate lower. You just need earnings to grow slower than the multiple already assumes.
med
Customer concentration
The company relies on regulated utility customers. If a few large customers pause projects, delay approvals, or rebid work, the revenue base can feel smaller fast.
That would pressure both backlog conversion and margin absorption at the same time.
med
Labor and subcontractor reliance
Centuri is party to 332 collective bargaining agreements and depends on field labor and subcontractors to get projects done. This is an operationally heavy business by definition.
Labor friction or supply delays would likely show up first in project timing, then in margins.
A contractor with $2.98B in revenue, 7.8% operating margin, and a 134.5x trailing P/E does not have much room for ugly quarters.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
Operating margin
7.8% is the number that runs the story. If margins improve, the premium multiple looks less ridiculous. If they slip, the rerating gets harder to defend.
calendar
Q1 2026 earnings report
The next quarterly report is expected in late april 2026. The current EPS estimate is -$0.03, so even a small beat or miss can move the narrative.
trend
Backlog conversion from the $300M awards
New awards are useful. Revenue, cash flow, and margin from those awards are what actually matter. Watch whether this turns into visible work in the next few quarters.
risk
Whether the valuation outruns the business
The stock already did a lot of the heavy lifting with an 86% one-year move. From here, you need earnings to catch up, not just sentiment.
Analyst rankings
coverage
thin
in human-speak, there isn't enough ranking data here to build a thesis around analysts. you have to follow margin, backlog, and the next few quarters yourself.
source: institutional data
Institutional activity
institutional ownership data for CTRI is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$31
current price
n/a
target midpoint · n/a from current
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