Investing.com — Primoris Services Corporation () shares gained 3.5% in premarket trading Monday after Mizuho upgraded the stock from Neutral to Outperform, though the firm lowered its price target to $135 from $175.

Analyst Maheep Mandloi upgraded the stock following a pullback after the first quarter, viewing renewable execution issues as temporary and now better reflected in estimates and valuation.

“We upgrade PRIM to Outperform after the post-Q1 pullback, as we view the renewable execution issues as transitory and now better reflected in estimates/valuation,” Mandloi commented. “Bookings should improve through 2026, supported by gas generation, renewables verbal awards and utility MSA growth, while 2027 returns to organic growth even on a conservative renewable base excluding ~$400m of 2026 push-outs.”

The analyst reduced the price target by 23% to $135 after adjusting revenue and EBITDA growth expectations. Mizuho applied a 13x 2027 EBITDA multiple, approximately two turns below the peer-implied growth multiple to account for recent execution challenges and multiple compression.

Mandloi noted that risk-reward now appears attractive as bookings convert and renewable operations normalize.

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