Quality Investor

Arcosa, Inc.

Rank #427Capital Return

ACA · NYSE · Industrials

Arcosa, Inc. (ACA) — Rank #427 by gross profitability (GP/assets 0.12) · ROE 7.0% · Piotroski F-Score 7 / 9.

As-of 2026-09-15 · CIK 0001739445 · all metrics point-in-time as of the filing date.

About

Arcosa, Inc., together with its subsidiaries, provides infrastructure-related products and solutions for the construction, engineered structures, and transportation markets in the United States.

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The company operates through three segments: Construction Products, Engineered Structures, and Transportation Products. The Construction Products segment offers natural and recycled aggregates; specialty materials; and construction site support equipment, including trench shields and shoring products for residential and non-residential construction, and specialty and other products, as well as for infrastructure construction. The Engineered Structures segment offers utility structures, wind towers, traffic and lighting structures, and telecommunication structures for electricity transmission and distribution, wind power generation, highway road construction, and wireless communication markets. This segment also sells its products to contractors and distributors serving state Departments of Transportation and state and municipality agencies. The Transportation Products segment offers inland barges, fiberglass barge covers, winches, marine hardware, and other transportation and industrial equipment to the commercial marine transportation companies, lessors, and industrial shippers. Arcosa, Inc.

was incorporated in 2018 and is headquartered in Dallas, Texas.

Industry
Engineering & Construction
Sector
Industrials
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31
Website
arcosa.com

Price History

ACA+190.3% · +23.8% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

$7.13B

P/E (annual)

34.2

P/S (annual)

2.5

P/B

2.4

P/OCF (annual)

20.9

Shareholder Yield

-0.3%

Employees

6,390

Industry

Engineering & Construction

Exchange

NYSE

Signal Flags

3 green
Revenue growth acceleratingGrowth rate increasing year over year
Operating leverage expandingOperating income growing faster than revenue
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak

Quality Profile

Profitability

1/1 pass
GP / assets
0.12
Return on equity
7.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.78
Current ratio
3.12×
Net cash
$432.10M

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
0.9%

Growth

2/2 pass
Revenue growth
12.2%
Piotroski F-Score
7 / 9
Share dilution
0.4%

Terry Smith quality gate

Passes 0/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

17.3%

fairly valued

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 0.4% — per-share value needs a total required return of 17.7% once share-count change is priced in.

vs. own 6-year median revenue growth: 10.7%

priced above its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

12.5%

r = 10% (base)

17.3%

r = 12%

21.5%

Net debt / market cap: -6.1%

Base FCF: $175.5M3Y mean FCF: $181.8M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

25.3xFair
12.5xmed 23.3x43.9x

P / S

Price / revenue per share

1.8xExpensive
1.0xmed 1.3x1.8x

P / B

Price / book value per share

2.0xExpensive
1.0xmed 1.3x2.0x

P / GP

Price / gross profit per share

8.1xExpensive
4.7xmed 6.9x8.9x

P / FCF

Price / free cash flow per share

30.0xExpensive
7.5xmed 21.4x84.1x

FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.12

Primary signal (Novy-Marx).

15th of 15 SIC 34 peers

Return on equity

7.0%

Gross margin

22.4%

15th of 15 SIC 34 peers

Revenue growth (YoY)

12.2%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

8.7%

Revenue CAGR (5Y)

8.3%

Earnings CAGR (3Y)

-5.4%

FCF CAGR (3Y)

69.1%

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.78

8th of 15 SIC 34 peers (best = lowest)

Current ratio

3.12×

5th of 15 SIC 34 peers

Quick ratio

2.19×

Net cash

$432.10M

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$175.50M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

-0.16

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.9%

Stock-based comp intensity.

Dividend safety

Composite score

3.2 / 5

Good
Payout ratio
4.8%5/5 Strong
FCF coverage
17.55×5/5 Strong
Dividend growth streak
1 yr1/5 Weak
Balance-sheet health
D/E 0.78 · IC N/A2/5 Fair

Piotroski F-Score

F-Score

7 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Capital Return
Value