Dycom Industries AI Price Prediction

With EPS of 10.16 and a PE ratio of 36.90, Dycom is being priced for continued earnings growth rather than deep value. The valuation suggests investors expect solid profitability and growth persistence, but without additional context on revenue and margin trends, the risk of multiple compression remains. Overall, the metrics point to a fundamentally profitable company, but not an obviously undervalued one.

• EPS of 10.16 indicates meaningful underlying profitability, supporting the current market cap and providing some earnings cushion.
• A PE ratio of 36.90 is elevated versus typical industrial/engineering peers, implying the market is discounting above-average growth or a strong backlog.
• Given the high multiple, any slowdown in earnings growth or margin pressure could weigh on the stock, so the risk/reward from a pure valuation standpoint is balanced rather than clearly attractive.

The stock’s 10.9% gain over the last month and price of $374.87 well above the 200-day moving average of $270.13 indicate a strong uptrend. However, an RSI of 72.66 places the shares in overbought territory, raising the risk of a near-term pullback or consolidation. Technically, the long-term trend is bullish, but short-term entry timing looks less favorable.

• Price at $374.87 vs. a 200-day moving average of $270.13 shows a strong, established uptrend and positive long-term momentum.
• A 10.9% gain in the last month reflects strong recent buying interest and positive sentiment, but also suggests some near-term froth.
• RSI of 72.66 is above the typical overbought threshold of 70, signaling elevated risk of short-term correction or sideways trading even within a broader uptrend.

Dycom’s stock reflects a profitable business with a strong recent price run and clear positive momentum, but it now trades at a rich multiple and appears technically overbought in the short term. Alternative data, particularly hiring trends, supports a constructive view on underlying demand, yet much of this optimism seems already embedded in the share price. Overall, the setup looks fundamentally constructive but tactically balanced between upside potential and near-term pullback risk.

• Profitability and growth expectations are already priced in via a high PE and a large premium over the 200-day moving average, limiting clear upside from valuation alone.
• Hiring growth and improving professional engagement are supportive of the business outlook, but the overbought RSI and sharp recent price appreciation argue for caution on short-term entry timing.