Patrick Industries (NASDAQ:PATK) Releases Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Patrick Industries (NASDAQ:PATK) issued its earnings results on Thursday. The construction company reported $1.29 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.23 by $0.06, FiscalAI reports. The business had revenue of $1.04 billion during the quarter, compared to analysts’ expectations of $994.95 million. Patrick Industries had a return on equity of 13.24% and a net margin of 3.46%.The business’s revenue for the quarter was down .6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.50 EPS.

Here are the key takeaways from Patrick Industries’ conference call:

• Second-quarter sales were resilient despite RV weakness: Revenue declined less than 1% to $1.04 billion as 22% marine growth, 28% powersports growth, and 2% housing growth largely offset a 15% RV decline. Management highlighted that 7% organic growth reflected continued content gains and diversification.
• Marine and powersports remain key growth drivers. Marine benefited from higher content and integrated electrical, tower, windshield, flooring, and fuel-tank solutions, while powersports demand was supported by utility-focused units and rising adoption of premium cab enclosures.
• The 2026 outlook was reduced for RV and profitability. RV wholesale shipments are now expected at 285,000–300,000 units, while adjusted operating margin is expected to be flat year-over-year and could face an additional 20-basis-point headwind from customer affordability and volume programs; operating cash flow guidance was lowered to $320 million–$350 million.
• The proposed all-stock merger with LCI Industries remains a potential long-term catalyst. Patrick expects approximately $150 million in annual run-rate cost synergies, although the transaction is not expected to close until the first half of 2027 and remains subject to shareholder and regulatory approvals.
• Capital returns and potential cash generation improved the balance-sheet outlook. Patrick repurchased approximately $91 million of shares during the quarter and expects working capital to become a source of cash in the second half, helping reduce leverage from 3.0 times while preserving capacity for growth investments.

Patrick Industries Trading Down 3.0%

PATK stock traded down $2.62 during trading on Thursday, hitting $84.00. The company had a trading volume of 970,056 shares, compared to its average volume of 667,979. The stock has a market cap of $2.76 billion, a PE ratio of 21.54 and a beta of 1.11. The business has a 50-day moving average of $87.42 and a 200-day moving average of $105.95. The company has a current ratio of 2.71, a quick ratio of 1.04 and a debt-to-equity ratio of 1.16. Patrick Industries has a one year low of $81.29 and a one year high of $148.50.

Patrick Industries Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, June 8th. Investors of record on Tuesday, May 26th were issued a $0.47 dividend. The ex-dividend date was Tuesday, May 26th. This represents a $1.88 annualized dividend and a yield of 2.2%. Patrick Industries’s dividend payout ratio is presently 48.21%.

Analysts Set New Price Targets

Several analysts have recently weighed in on PATK shares. Zacks Research cut Patrick Industries from a “hold” rating to a “strong sell” rating in a report on Tuesday, May 5th. BMO Capital Markets restated an “outperform” rating and issued a $150.00 price target (down from $155.00) on shares of Patrick Industries in a research report on Monday, April 20th. Roth Capital set a $128.00 price target on shares of Patrick Industries in a research note on Tuesday, May 5th. Benchmark cut their price target on shares of Patrick Industries from $150.00 to $135.00 and set a “buy” rating on the stock in a report on Friday, May 1st. Finally, Raymond James Financial set a $108.00 price objective on shares of Patrick Industries in a research note on Friday, May 1st. Six investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $119.75.

Insider Activity

In other news, CEO Andy L. Nemeth purchased 10,000 shares of the stock in a transaction on Tuesday, May 5th. The stock was purchased at an average price of $88.00 per share, for a total transaction of $880,000.00. Following the acquisition, the chief executive officer owned 287,745 shares in the company, valued at $25,321,560. This trade represents a 3.60% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director M Scott Welch acquired 10,050 shares of Patrick Industries stock in a transaction dated Tuesday, May 5th. The stock was purchased at an average cost of $88.23 per share, for a total transaction of $886,711.50. Following the completion of the purchase, the director owned 156,000 shares in the company, valued at approximately $13,763,880. The trade was a 6.89% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last quarter, insiders have purchased 28,700 shares of company stock worth $2,532,880. 3.80% of the stock is owned by insiders.

Institutional Trading of Patrick Industries

Institutional investors have recently bought and sold shares of the company. Captrust Financial Advisors lifted its stake in shares of Patrick Industries by 7.3% in the 4th quarter. Captrust Financial Advisors now owns 4,344 shares of the construction company’s stock valued at $471,000 after purchasing an additional 297 shares during the period. XTX Topco Ltd acquired a new stake in Patrick Industries during the fourth quarter worth approximately $362,000. Corient Private Wealth LLC increased its holdings in Patrick Industries by 17.2% in the fourth quarter. Corient Private Wealth LLC now owns 3,308 shares of the construction company’s stock worth $359,000 after purchasing an additional 485 shares in the last quarter. Entropy Technologies LP bought a new stake in Patrick Industries in the third quarter worth approximately $310,000. Finally, CIBC Asset Management Inc lifted its stake in Patrick Industries by 4.1% in the fourth quarter. CIBC Asset Management Inc now owns 2,256 shares of the construction company’s stock valued at $245,000 after buying an additional 88 shares during the period. Institutional investors own 93.29% of the company’s stock.

About Patrick Industries

Patrick Industries, Inc is a leading manufacturer and distributor of component products and building materials for the recreational vehicle (RV), manufactured housing, marine and industrial markets. The company supplies a broad array of interior and exterior products, including cabinetry, countertops, flooring, wall panels and decorative trim. Patrick Industries also offers engineered composites, adhesives, sealants and insulation solutions that cater to both original equipment manufacturers (OEMs) and aftermarket customers across North America.

Founded in 1959 and headquartered in Elkhart, Indiana, Patrick Industries began as a small distributor of hardwood and millwork products.