EMCOR Group has beaten consensus EPS estimates in each of the four most recent quarters averaging 10.4% above expectations, backs a wide economic moat with 39% return on equity that ranks superior to peers, and carries growth and quality characteristics consistent with a compounding business — but with only 3.3% headroom to the price target and a 0.47-to-1 unfavorable reward-to-risk ratio, the setup favors holding an existing position rather than adding at current levels.
Thesis pillars
- Perfect Earnings Beat Streak↑Improving
- Wide Moat Superior Returns→Stable
- Thin Upside Unfavorable Asymmetry→Stable
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Feb 26, 2026
EMCOR Group, Inc. (EME) Stock Analysis
Industrials · Engineering & Construction
Wait for pullback to $651.45. Weak momentum — blocks BUY_NOW at $678.55. Engine's entry $651.45 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: United States (97.0%); Concentration risk — Product: construction operations (72.0%).
EMCOR Group provides electrical and mechanical construction, building services, and industrial services across the United States through approximately 100 operating subsidiaries, generating $16.99 billion in 2025 revenues with 72% from construction, 21% from building services,... Read more
Wait for pullback to $651.45. Weak momentum — blocks BUY_NOW at $678.55. Engine's entry $651.45 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: United States (97.0%); Concentration risk — Product: construction operations (72.0%). Chart setup: No clear chart pattern; technical signals are mixed. Earnings today. Wait until post-earnings. Score 6.3/10, moderate confidence.
Passes 6/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and earnings proximity 0d<=7d. Suitability: moderate.
About EMCOR Group, Inc.
About EMCOR Group, Inc.
EMCOR Group generated $16.99 billion in revenue in 2025, with electrical and mechanical construction accounting for 72% of total revenues, building services 21%, and industrial services 7%; the company employs approximately 44,000 people across roughly 100 U.S. operating subsidiaries. EMCOR sold its United Kingdom operations on December 1, 2025, making the U.S. business essentially the entire enterprise, and has logged 17 consecutive years with a Total Recordable Incident Rate below half the Bureau of Labor Statistics industry average for Building Equipment Contractors.
EMCOR earns construction revenue from large installation projects — typically $10 million to over $200 million, representing approximately 58% of electrical and mechanical construction revenues — and from smaller projects under $10 million (the remaining 42%). Major project categories include data centers, semiconductor and biotech manufacturing facilities, hospitals, warehousing, and transportation infrastructure. The company competes against APi Group Corporation, Comfort Systems USA, Quanta Services, and Tutor Perini in construction; against APi Group and Service Logic in mechanical building services; and against JVIC, Universal Plant Services, and Turner Industries in industrial services. Raw material exposure includes copper and steel, and an approximately 14,400-vehicle fleet creates direct fuel cost exposure. The majority of construction work is competitively bid, and fixed-price and guaranteed-maximum-price contracts create execution risk if labor productivity or material costs deviate from original estimates — a dynamic EMCOR has experienced and may continue to face given inflationary pressures and supply chain tightness.
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EMCOR's 62% unionized workforce, covered by roughly 450 separate collective bargaining agreements, creates distributed labor cost exposure: while the company characterizes its union relations as generally positive, contract renewals introduce periodic wage escalation and potential work stoppages. The government site-based services division holds contracts with multiple federal agencies — including the National Archives, the FDIC, the Government Accountability Office, and several cabinet departments — subject to termination for convenience by the government at any time, a structural risk across a portion of the building services segment's revenue base.
See also: Industrials · Engineering & Construction
From EMCOR Group, Inc.'s most recent 10-K filing, extracted June 10, 2026.
Recent developments
updated 2026-10-29Recent Developments — EMCOR Group, Inc.
Latest news
- NEWS How EMCOR’s AI-Fueled Data Center Backlog and Acquisitions Will Impact EMCOR Group (EME) Investors - Yahoo Finance — Yahoo Finance positive
- NEWS EMCOR Group stock trades at EUR 673.00 after Q2 growth - AD HOC NEWS — AD HOC NEWS positive
- NEWS EMCOR (EME) Reports Q2: Everything You Need To Know Ahead Of Earnings - Yahoo Finance — Yahoo Finance neutral
- NEWS EMCOR (EME) Reports Q2: Everything You Need To Know Ahead Of Earnings - StockStory — StockStory neutral
- NEWS EMCOR Group (EME) Draws Fresh Valuation Attention, Is It Still 28% Undervalued? - Yahoo Finance — Yahoo Finance positive
Generated 2026-10-29T11:14:31Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHGeographicUnited States97%10-K Item 1: 'approximately 97% were generated in the United States and approximately 3% were generated in the United Kingdom'
- HIGHProductconstruction operations72%10-K Item 1: 'Our United States electrical and mechanical construction operations accounted for approximately 72% of our 2025 total revenues'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
1 floor-breaker
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Wait for pullback to $651.45. Weak momentum — blocks BUY_NOW at $678.55. Engine's entry $651.45 (Atr Pullback Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: United States (97.0%); Concentration risk — Product: construction operations (72.0%). Chart setup: No clear chart pattern; technical signals are mixed. Earnings today. Wait until post-earnings. Target $851.84 (+25.5%), stop $612.75 (−10.7%), A.R:R 3.3:1. Score 6.3/10, moderate confidence.
Take-profit target: $851.84 (+25.5% upside). Target $851.84 (+25.5%), stop $612.75 (−10.7%), A.R:R 3.3:1. Stop-loss: $612.75.
Concentration risk — Geographic: United States (97.0%); Concentration risk — Product: construction operations (72.0%); Sector modifier (Industrials): -0.7.
EMCOR Group, Inc. trades at a P/E of 21.1 (forward 17.9). TrendMatrix value score: 7.7/10. Verdict: Buy (Wait for Entry).
15 analysts cover EME with a consensus score of 4.1/5. Average price target: $979.
What does EMCOR Group, Inc. do?EMCOR Group provides electrical and mechanical construction, building services, and industrial services across the...
EMCOR Group provides electrical and mechanical construction, building services, and industrial services across the United States through approximately 100 operating subsidiaries, generating $16.99 billion in 2025 revenues with 72% from construction, 21% from building services, and 7% from industrial services. The company employs approximately 44,000 people, 62% of whom are represented by roughly 450 collective bargaining agreements.