NEW YORK (TheStreet) -- Shares of Dycom Industries (DY) - Get Report are dropping by 5.37% to $56.39 on heavy volume in early afternoon trading on Wednesday, after the North Palm Beach, FL-based company reported its 2016 second quarter results.
After yesterday's closing bell, the provider of specialty contracting services posted adjusted earnings of 54 cents per diluted share, missing analysts' expectations of 57 cents per share.
Revenue for the quarter was $559.5 million, which fell short of Wall Street's estimates of $543.98 million.
For the third quarter, Dycom expects earnings per share between 70 cents and 78 cents on revenue in the range of $585 million to $605 million. Analysts are looking for earnings of 85 cents per share on revenue of $593.19 million.
Through its subsidiaries, the company provides engineering, construction, maintenance and installation services to telecommunications providers and underground facility locating services to various utilities.
About 2.49 million of the company's shares were traded by this afternoon, much higher than its average volume of 931,922 shares per day.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.
This is driven by a number of strengths, which should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks covered.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, impressive record of earnings per share growth, compelling growth in net income and solid stock price performance.
The team believes its strengths outweigh the fact that the company shows weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: DY