Is EMCOR Group (EME) Still Attractively Priced After Strong Multi Year Share Gains?

Simply Wall St.01-10

If you have been wondering whether EMCOR Group's share price still reflects its underlying worth, this article walks through the numbers so you can judge that for yourself. The stock recently closed ...

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The stock recently closed ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/capital-goods/nyse-eme/emcor-group/news/is-emcor-group-eme-still-attractively-priced-after-strong-mu\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is EMCOR Group (EME) Still Attractively Priced After Strong Multi Year Share Gains?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs EMCOR Group (EME) Still Attractively Priced After Strong Multi Year Share Gains?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-01-10 02:48 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/capital-goods/nyse-eme/emcor-group/news/is-emcor-group-eme-still-attractively-priced-after-strong-mu><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>If you have been wondering whether EMCOR Group's share price still reflects its underlying worth, this article walks through the numbers so you can judge that for yourself. The stock recently closed ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/capital-goods/nyse-eme/emcor-group/news/is-emcor-group-eme-still-attractively-priced-after-strong-mu\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"EME.AU","symbol_name":"ENERGY METALS LTD","start_time":0,"source_url":"https://simplywall.st/stocks/us/capital-goods/nyse-eme/emcor-group/news/is-emcor-group-eme-still-attractively-priced-after-strong-mu","article_id":"2602306127","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/3041000-choice2-main-header/1585186777117"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/capital-goods/nyse-eme/emcor-group/news/is-emcor-group-eme-still-attractively-priced-after-strong-mu","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2602306127","pubTimestamp":1767984521,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"If you have been wondering whether EMCOR Group's share price still reflects its underlying worth, this article walks through the numbers so you can judge that for yourself.\nThe stock recently closed at US$628.27, with returns of 2.7% over the last 7 days, 0.7% over the last month, a 1.6% decline year to date, 32.3% over the last year, and a very large gain over 5 years.\nRecent news coverage has focused on EMCOR Group's position in the capital goods space and investor interest following its...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"EME.AU":"ENERGY METALS LTD","LU0203345920.USD":"SCHRODER ISF QEP GLB ACT. VL \"A\" (USD) ACC","BK4129":"建筑与工程","BK7083":"煤与消费用燃料","DCF":"Dreyfus Alcentra Global Credit Income 2024 Target Term Fund, Inc","LU0274383776.USD":"MANULIFE GF US SMALL CAP EQUITY \"AA\" (USD) INC","EME":"Emcor Group Inc","LU0203347892.USD":"SCHRODER ISF QEP GLOBAL ACTIVE VALLUE \"A\" (USD)  INC AV","BK7509":"中概股"},"translate_title":"EMCOR Group(EME)在多年股价强劲上涨后，其定价是否仍然具有吸引力？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"DCF":1,"EME.AU":1.5,"EME":1.5},"content_text":"If you have been wondering whether EMCOR Group's share price still reflects its underlying worth, this article walks through the numbers so you can judge that for yourself. The stock recently closed at US$628.27, with returns of 2.7% over the last 7 days, 0.7% over the last month, a 1.6% decline year to date, 32.3% over the last year, and a very large gain over 5 years. Recent news coverage has focused on EMCOR Group's position in the capital goods space and investor interest following its strong multi year share price performance. This context helps explain why some shareholders are now asking whether the current price still lines up with the company's fundamentals. On Simply Wall St's 6 point valuation checklist, EMCOR Group scores a full 6 out of 6. Next, we will look at how different valuation methods arrive at that outcome and why an even richer way to think about value comes at the end of this article.  Find out why EMCOR Group's 32.3% return over the last year is lagging behind its peers. AdvertisementApproach 1: EMCOR Group Discounted Cash Flow (DCF) Analysis A Discounted Cash Flow, or DCF, model takes estimates of the cash a company could generate in the future and discounts those amounts back to what they may be worth today. It is essentially asking what you might reasonably pay now for the stream of future cash flows. For EMCOR Group, the model used is a 2 Stage Free Cash Flow to Equity approach, based on cash flow projections. The latest twelve month free cash flow is about $1.15b. Analyst and extrapolated projections suggest annual free cash flow in the $1.30b to $3.05b range between 2026 and 2035, with 2035 projected at about $3.05b. Simply Wall St extends analyst estimates beyond the usual 5 year window to build a full 10 year view. Putting these projections together, the DCF model arrives at an estimated intrinsic value of about $912.00 per share. Compared with the recent share price of $628.27, this implies the stock is around 31.1% undervalued according to this method. Result: UNDERVALUED Our Discounted Cash Flow (DCF) analysis suggests EMCOR Group is undervalued by 31.1%. Track this in your watchlist or portfolio, or discover 878 more undervalued stocks based on cash flows. EME Discounted Cash Flow as at Jan 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for EMCOR Group. Approach 2: EMCOR Group Price vs Earnings For a profitable company like EMCOR Group, the P/E ratio is a useful way to think about what you are paying for each dollar of earnings. Higher growth expectations and lower perceived risk usually support a higher P/E, while slower growth or higher risk tend to line up with a lower, more cautious multiple. EMCOR Group currently trades on a P/E of 24.88x. That sits below the Construction industry average P/E of 33.10x and also below the broader peer group average of 65.16x. On the surface, this suggests the market is applying a lower earnings multiple than many comparable companies. Simply Wall St also calculates a “Fair Ratio” for EMCOR Group of 29.46x. This is a proprietary estimate of what the P/E might be based on factors such as earnings growth, profit margins, industry, market cap and company specific risks. Because it blends these elements, the Fair Ratio can be a more tailored benchmark than a simple industry or peer comparison. Setting this 29.46x Fair Ratio against the actual 24.88x P/E suggests the stock is trading below that model based reference point. Result: UNDERVALUED NYSE:EME P/E Ratio as at Jan 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1444 companies where insiders are betting big on explosive growth. Upgrade Your Decision Making: Choose your EMCOR Group Narrative Earlier we mentioned that there is an even better way to understand valuation. On Simply Wall St's Community page you can use Narratives, where you set out your story for EMCOR Group, link that story to your own assumptions for future revenue, earnings and margins, convert those into a fair value, then compare that fair value to the current price. The numbers update automatically as new news or earnings arrive. This is why one EMCOR Group Narrative might point to an intrinsic value of about US$468.79 per share, while another, using different assumptions, might land closer to US$758.50 per share. For EMCOR Group however we will make it really easy for you with previews of two leading EMCOR Group Narratives: 🐂 EMCOR Group Bull Case Fair value in this narrative: US$758.50 per share Implied pricing gap: around 17.2% below this fair value at the recent US$628.27 share price Revenue growth used in this narrative: 8.28% a year  Analyst consensus expects revenue and earnings to keep building on a large, diversified project backlog, with raised 2025 guidance and ongoing exposure to U.S. reshoring projects. The narrative assumes margins stay healthy even with some volatility, supported by investments in talent, prefabrication and acquisitions like Miller Electric. Key watchpoints include labor costs, project execution, M&A integration and how well EMCOR adapts if demand shifts toward renewables and tighter ESG requirements.  🐻 EMCOR Group Bear Case Fair value in this narrative: US$468.79 per share Implied pricing gap: around 34.1% above this fair value at the recent US$628.27 share price Revenue growth used in this narrative: 9.0% a year  This view uses solid revenue growth and mid single digit profit margins but pairs them with a lower 20x P/E and concludes that today’s price already reflects strong expectations. It highlights sensitivity to construction cycles, government and infrastructure spending, labor availability, material costs and competition in bidding for large projects. The takeaway is that EMCOR looks like a quality business, but returns from here could depend heavily on how the cycle unfolds and whether growth, margins and contract flow line up with these assumptions.  Both narratives are built on the same company and many of the same facts, yet they arrive at very different fair values. The gap between US$468.79 and US$758.50 is really a reflection of the assumptions you personally find more reasonable about growth, margins and the multiple you think EMCOR Group should trade on. Curious how numbers become stories that shape markets? Explore Community Narratives Do you think there's more to the story for EMCOR Group? Head over to our Community to see what others are saying! NYSE:EME 1-Year Stock Price Chart  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.Valuation is complex, but we're here to simplify it.Discover if EMCOR Group might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. 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