Core & Main (NYSE:CNM) Releases Quarterly Earnings Results, Beats Estimates By $0.19 EPS

Core & Main (NYSE:CNM) issued its quarterly earnings data on Wednesday. The company reported $0.72 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.53 by $0.19, FiscalAI reports. Core & Main had a return on equity of 25.45% and a net margin of 5.77%.The business had revenue of $1.91 billion during the quarter, compared to analyst estimates of $1.89 billion. During the same period in the previous year, the firm earned $0.52 EPS. Core & Main’s quarterly revenue was down .1% compared to the same quarter last year.

Here are the key takeaways from Core & Main’s conference call:

• Core & Main reported a solid first quarter with net sales of $1.9 billion, adjusted EBITDA of $226 million, and adjusted diluted EPS of $0.72, while reaffirming its full-year fiscal 2026 outlook.
• Municipal demand remained strong, supported by aging water infrastructure, repair-and-replacement work, and durable state and local funding sources that management says should keep demand resilient through the year.
• The company highlighted continued momentum in Smart Utility and Treatment Plant Solutions, both of which delivered double-digit or high-single-digit growth and are expanding Core & Main’s share in complex municipal projects.
• Gross margin improved 50 basis points year over year to 27.2% on private label growth, sourcing optimization, and disciplined pricing, and the company said it expects margins to remain at similar levels for the rest of the year.
• Management maintained guidance despite a mixed backdrop: residential remains weak, but data centers, manufacturing, and greenfield expansion are helping offset softer private construction, with slight growth expected to build through the back half of the year.

Core & Main Trading Down 6.2%

Core & Main stock opened at $49.39 on Thursday. The stock has a 50-day simple moving average of $49.84 and a 200 day simple moving average of $52.08. The stock has a market capitalization of $9.61 billion, a P/E ratio of 21.38, a PEG ratio of 1.89 and a beta of 0.91. The company has a debt-to-equity ratio of 1.02, a quick ratio of 1.51 and a current ratio of 2.63. Core & Main has a 52 week low of $43.96 and a 52 week high of $67.18.

Key Stories Impacting Core & Main

Here are the key news stories impacting Core & Main this week:

• Positive Sentiment: Core & Main reported Q1 EPS of $0.72, ahead of expectations, and revenue of $1.91 billion, also topping estimates; management said municipal water work remained strong and margins improved. Article Title
• Positive Sentiment: The company reaffirmed FY2026 guidance and indicated revenue of about $7.8 billion to $7.9 billion, which was above market expectations and suggests confidence in the outlook. Article Title
• Neutral Sentiment: Several earnings-call recaps highlighted resilient growth, but also noted that residential demand remains soft, making the company more dependent on municipal and infrastructure spending. Article Title
• Negative Sentiment: Some commentary said the post-earnings pullback may limit near-term upside, as investors weigh the strong quarter against declining segments such as pipes, valves, fittings, and storm drainage. Article Title

Insider Activity at Core & Main

In related news, CFO Robyn L. Bradbury sold 5,000 shares of the stock in a transaction on Friday, April 17th. The stock was sold at an average price of $52.54, for a total value of $262,700.00. Following the sale, the chief financial officer owned 12,500 shares in the company, valued at approximately $656,750. This represents a 28.57% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James D. Hope purchased 1,972 shares of the business’s stock in a transaction on Tuesday, April 7th. The shares were acquired at an average cost of $50.70 per share, with a total value of $99,980.40. Following the acquisition, the director directly owned 6,939 shares in the company, valued at approximately $351,807.30. The trade was a 39.70% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 1.51% of the stock is owned by corporate insiders.

Institutional Trading of Core & Main

A number of hedge funds have recently modified their holdings of the stock. EverSource Wealth Advisors LLC boosted its holdings in shares of Core & Main by 145.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 454 shares of the company’s stock worth $27,000 after buying an additional 269 shares during the period. Cubist Systematic Strategies LLC boosted its holdings in shares of Core & Main by 262.0% during the first quarter. Cubist Systematic Strategies LLC now owns 724 shares of the company’s stock worth $35,000 after acquiring an additional 524 shares during the period. Quarry LP bought a new stake in shares of Core & Main during the fourth quarter worth approximately $38,000. Los Angeles Capital Management LLC acquired a new position in shares of Core & Main in the fourth quarter valued at approximately $44,000. Finally, Wilmington Savings Fund Society FSB grew its position in shares of Core & Main by 47.8% in the third quarter. Wilmington Savings Fund Society FSB now owns 961 shares of the company’s stock valued at $52,000 after purchasing an additional 311 shares during the last quarter. Institutional investors and hedge funds own 94.19% of the company’s stock.

Wall Street Analyst Weigh In

CNM has been the subject of several research analyst reports. Deutsche Bank Aktiengesellschaft reduced their price target on shares of Core & Main from $65.00 to $62.00 and set a “buy” rating for the company in a report on Wednesday, March 25th. Barclays cut their price objective on shares of Core & Main from $63.00 to $62.00 and set an “overweight” rating on the stock in a research report on Wednesday, March 25th. Seven analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, Core & Main currently has an average rating of “Moderate Buy” and an average target price of $61.64.

About Core & Main

Core & Main, Inc (NYSE:CNM) is a leading distributor of water, sewer, storm drainage and fire protection products across North America. The company’s product portfolio includes valves, hydrants, pipe and fittings, meters, couplings and other essential components that support municipal, industrial and environmental infrastructure projects. By combining a comprehensive inventory with logistics and technical support, Core & Main helps customers address complex water system and distribution challenges.

With more than 300 branch locations and over 3,500 employees, Core & Main serves a diverse customer base that includes municipalities, contractors, engineers and utility providers.