Vulcan Materials Down On Stock Offering, Dividend

But low volumes concern the analyst.

"With stimulus projects not commencing as quickly as originally expected, we continue to believe risk to this year's volume guidance would be to the downside, and believe projects would need to accelerate rapidly in the July and August time frame to see a significant amount of incremental demand in 2009," Jacobson wrote Wednesday in a client note.

He cut his 2009 earnings estimate to 67 cents per share from $1.10 per share and reiterated his "Sell" rating.

In late morning trading, shares fell $2.44, or 5.6 percent, to $41.53.