Should You Buy Dycom Industries Inc (DY) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Buy
Latest Price
366.880
1 Day change
-0.84%
52 Week Range
386.940
Analysis Updated At
2026/01/28
BUY now for a beginner long-term investor with $50k–$100k. DY is in a primary uptrend (bullish moving averages), fundamentals are accelerating (strong YoY revenue/EPS growth in 2026/Q3), and Wall Street sentiment is strongly positive with multiple Buy/Overweight ratings and rising price targets (including a new $510 Buy initiation). Despite recent insider selling and elevated options implied volatility, the balance of evidence supports owning it now rather than waiting for a “perfect” dip.
**Intellectia Proprietary Trading Signals**
- [AI Stock Picker](module://ai_stock_pick): No signal on given stock today.
- [SwingMax](module://swingmax): No signal on given stock recently.
Technical Analysis
Trend is bullish overall: SMA_5 > SMA_20 > SMA_200 confirms an established uptrend. MACD histogram is positive (0.908) but “positively contracting,” implying upside momentum is still positive but cooling in the very near term. RSI_6 at ~54.6 is neutral (not overbought), which supports the idea that the stock is not stretched.
Price/levels: post-market ~367.44 is sitting very close to the pivot (~368.77). Nearby support is S1 ~354.52 (then S2 ~345.71). Upside resistance levels are R1 ~383.02 and R2 ~391.83. Net: trend-up, but near-term could chop around the pivot before the next push higher.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Sentiment skew is bullish: open interest put/call of 0.29 indicates far more call positioning than puts. Volume put/call of 0.83 is closer to balanced but still slightly call-favored.
Volatility: 30D IV (~56.6) is well above historical volatility (~32.6) and IV percentile is high (~86.8), meaning options are pricing in larger moves than normal; that often happens around heightened expectations and can reflect optimism, but also implies the market is paying up for protection/leverage.
Technical Summary
Sell
4
Buy
7
Positive Catalysts
1) Strong operating momentum: 2026/Q3 showed robust YoY growth (revenue +14%, EPS +53%), supporting continued upside if execution holds.
2) Strategic expansion: acquisition-related commentary (Power Solutions / electrical + data center adjacency) is viewed positively by multiple analysts as margin and growth accretive.
3) Analyst support: multiple Buy/Overweight ratings and price target increases, plus Guggenheim initiation at Buy with a $510 PT, reinforces institutional confidence.
1) Insider activity: insiders are net sellers, with selling amount up ~148% over the last month—this can cap near-term upside or signal management taking profits.
2) No fresh news catalysts in the last week: without near-term headlines, the stock may rely on broader sector sentiment/earnings cadence for the next leg up.
3) Momentum cooling: MACD is still positive but contracting, which can mean short-term consolidation risk around the pivot.
4) Elevated implied volatility: the market is pricing larger moves; if expectations cool, that can coincide with pullbacks.
Financial Performance
Latest reported quarter: 2026/Q3.
- Revenue: $1.4518B, +14.13% YoY (healthy top-line expansion)
- Net income: $106.37M, +52.41% YoY (profitability improving faster than revenue)
- EPS: $3.63, +53.16% YoY (strong per-share growth)
- Gross margin: 17.77%, up +6.34% YoY (margin trend improving)
Overall: accelerating earnings and improving margins point to strengthening operating leverage, which is supportive for a long-term buy.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent trend is clearly improving: multiple firms raised price targets after strong results and strategic moves (e.g., Wells Fargo to $360, JPMorgan to $370, UBS to $373, BofA to $365, DA Davidson to $390, Bernstein to $392). New coverage has been positive (Vertical Research Buy $420; Guggenheim Buy $510).
Wall Street pros: market-share gains tied to fiber buildout, diversification into electrical/data center-related work, improving margin and growth outlook, and expectation of meaningful EPS growth into FY27.
Wall Street cons: near-term integration/execution risk around acquisitions and the possibility that expectations have risen quickly.
Influential/political trading: No recent congress trading data available (no clear politician buy/sell signal).
Wall Street analysts forecast DY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DY is 385.67 USD with a low forecast of 320 USD and a high forecast of 426 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
Wall Street analysts forecast DY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DY is 385.67 USD with a low forecast of 320 USD and a high forecast of 426 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Buy
0 Hold
0 Sell
Strong Buy
Current: 369.990
Low
320
Averages
385.67
High
426
Current: 369.990
Low
320
Averages
385.67
High
426
Guggenheim
initiated
$510
AI Analysis
2026-01-22
Reason
Guggenheim
Price Target
$510
AI Analysis
2026-01-22
initiated
Reason
Guggenheim initiated coverage of Dycom with a Buy rating and $510 price target. Dycom is well positioned to gain market share in the continued nationwide fiber optics build out and is expanding wallet share with data centers following its acquisition of Power Solutions, the analyst tells investors.
KeyBanc
Overweight
maintain
$392 -> $426
2026-01-07
Reason
KeyBanc
Price Target
$392 -> $426
2026-01-07
maintain
Overweight
Reason
KeyBanc raised the firm's price target on Dycom to $426 from $392 and keeps an Overweight rating on the shares. The firm maintain Dycom as one of its top picks and raise its price target on the improved growth and margin outlook.
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