Primoris First Take: Digging a Hole; PRIM Significantly Lowers Guidance Again, More Leadership Changes

Research evidence excerpt

Primoris First Take: Digging a Hole; PRIM Significantly Lowers Guidance Again, More Leadership Changes

J P M O R G A N North America Equity Research

23 June 2026

Primoris Neutral

PRIM, PRIM US

First Take: Digging a Hole; PRIM Significantly Lowers Price (22 Jun 26):$108.34

Guidance Again, More Leadership Changes

PRIM issued a business update yesterday, significantly cutting FY26 PF EBITDA

guidance and noting further degradation and cost overruns on its six renewable

projects originally disclosed as headwinds on the 4Q25 and 1Q26 earnings calls.

The updated FY26 Adj. EBITDA guidance of $275-325mm compares to prior Clean Energy, Power Infrastructure,

guidance of $480-500mm, a ~$190mm reduction at the midpoint. For context, the and Sustainable Investing

guidance cut on the 1Q26 call was ~$110mm on a standalone basis (excluding the AC Mark Strouse, CFA

implied $30mm benefit from the PayneCrest acquisition), bringing the cumulative (1-212) 622-8244

Adj. EBITDA reduction to $300mm since the 4Q call on February 23 (a 53% total mark.w.strouse@jpmorgan.com

reduction ex-PayneCrest). The company announced the departure of its COO, a Michael G Fairbanks

couple of weeks after the departure of the Renewables segment leader. While (1-212) 622-4908

specific details are still not fully disclosed, we believe the issues are largely michael.fairbanks@jpmchase.com

company-specific given upbeat tone from peers and competitors within the Anna Zhu

renewables market. As a silver lining, PRIM announced ~$2.0bn in new Energy (1-212) 622-0012

segment awards in 2Q26 and ~$50mm in share repurchases during the quarter. anna.zhu@jpmorgan.com

PRIM will present at the JPM Natural Resources Conference tomorrow, June 24 J.P. Morgan Securities LLC

(link to register for the webcast here).