Dycom Industries, Inc.

DY · NYSE

Low target$390.00
Average target$563.78
High target$654.00

Analyst ratings

strong_buy · 9 ratings

DateFirmActionRatingPrice target
June 1, 2026KeybancMaintainsOverweight$610.00
May 29, 2026Cantor FitzgeraldMaintainsOverweight$654.00
May 28, 2026JP MorganMaintainsOverweight$650.00
May 28, 2026Wells FargoMaintainsOverweight$650.00
May 28, 2026B. Riley SecuritiesMaintainsBuy$625.00
May 28, 2026GuggenheimMaintainsBuy$620.00
March 27, 2026Cantor FitzgeraldReiteratesOverweight$436.00
March 5, 2026JP MorganMaintainsOverweight$415.00
March 5, 2026B. Riley SecuritiesMaintainsBuy$485.00
March 5, 2026KeybancMaintainsOverweight$482.00
February 25, 2026B of A SecuritiesMaintainsBuy$475.00
February 4, 2026JP MorganMaintainsOverweight$395.00
January 12, 2026UBSMaintainsBuy$400.00
November 21, 2025B. Riley SecuritiesMaintainsBuy$420.00
November 21, 2025KeybancMaintainsOverweight$392.00
November 21, 2025B of A SecuritiesMaintainsBuy$365.00
November 20, 2025UBSMaintainsBuy$373.00
November 20, 2025JP MorganMaintainsOverweight$370.00
November 20, 2025DA DavidsonMaintainsBuy$390.00
November 20, 2025Wells FargoMaintainsOverweight$360.00
November 14, 2025Wells FargoMaintainsOverweight$315.00
October 20, 2025KeybancMaintainsOverweight$320.00
October 13, 2025UBSMaintainsBuy$336.00
September 29, 2025B of A SecuritiesMaintainsBuy$310.00
September 26, 2025Wells FargoMaintainsOverweight$305.00

Revenue growth sustainability and telecom customer concentration risk

Bull case

Dycom's raised FY2027 contract revenue guidance to US$7.38–$7.65 billion signals strong demand for fiber and utility infrastructure. The company's large project pipeline, supported by sustained telecom and data center spending, underpins confidence in continued top-line expansion toward a projected $9.7 billion by 2029.

Bear case

Dycom's revenue is heavily concentrated among a handful of major telecom clients, creating significant downside risk. Any pullback in spending by key customers could rapidly derail revenue targets, and the wide spread in fair value estimates — ranging from $370.92 to $637.27 — reflects deep uncertainty about revenue execution.

Earnings growth trajectory and forward estimates reliability

Bull case

Analyst consensus projects meaningful earnings growth, with net income forecast to rise 21% next year and a consensus price target of $637.27 — implying over 54% upside from current levels. Dycom's recent earnings beat of 30.63% above estimates further supports confidence in the company's ability to deliver on forecasts.

Bear case

Forward earnings estimates show a decelerating growth profile, with next year's projected increase of $3.38 per share representing a notable step-down from the current year's $5.46 per share. Technical indicators including a negative MACD and RSI below 40 suggest the market is already pricing in downside risk to these estimates.

Impact of Russell index reclassification on institutional demand and valuation

Bull case

Dycom's addition to the Russell 1000, Russell Midcap, and related growth and value sub-indices in June 2026 broadens its institutional investor base and increases passive fund ownership. This expanded visibility arrives precisely as analysts highlight improving earnings estimates and strong cash flow generation, potentially providing a structural uplift to the stock.

Bear case

While index reclassification may modestly improve trading liquidity, it does not alter Dycom's underlying business fundamentals or resolve execution risk. Financhill's current stock score of 50/100 — at its historic median — combined with the stock trading below its 5, 20, and 50-day exponential moving averages, suggests index inclusion alone is insufficient to drive sustained outperformance.