TacticScaleWhat Construction Partners Does & How It Makes Money (ROAD)
Updated October 2026 · reflects Construction Partners's latest reported financials
Southeastern US road builder, asphalt producer and paving contractor. It earns revenue from paving and civil construction contracts for public agencies and private developers.
How Construction Partners makes money
It earns revenue from paving and civil construction contracts for public agencies and private developers. It also sells hot mix asphalt, aggregates and liquid asphalt cement to third parties, while using the same materials in its own projects.
What Construction Partners does
Construction Partners, Inc. is a civil infrastructure company headquartered in Dothan, Alabama. It builds and maintains roadways in Alabama, Florida, Georgia, North Carolina, Oklahoma, South Carolina, Tennessee and Texas. Its customers are public and private projects, including highways, roads, bridges, airports and commercial and residential developments. Its services include paving, roadway base construction and site development such as utility and drainage installation. The company is vertically integrated. It mines aggregates, distributes liquid asphalt cement and makes hot mix asphalt, both for its own paving work and for sale to third parties. It was incorporated in 2007 as SunTx CPI Growth Company and took the name Construction Partners in September 2017.
Products & services
- Highway and road construction and maintenance
- Asphalt paving and roadway base layers
- Hot mix asphalt (HMA) manufacturing and sales
- Aggregates mining (sand, gravel, construction stone)
- Liquid asphalt cement distribution
- Site development, utility and drainage installation
What is Construction Partners worth?
On an owner-earnings DCF, Construction Partners's most-likely value is about $53 versus a recent price near $87 (39% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$24) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
⚠ High leverage — net debt is 10.2× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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