Granite Construction Falls as Convertible-Debt Charge Overshadows Strong Q2 Growth

Granite Construction Incorporated (GVA) is down 6.6% today. Here is some analysis on what might have caused this price movement.

Analysis: The selloff appears tied to investors reacting to Granite’s headline second-quarter net loss and diluted EPS loss, even though the company posted higher revenue, higher adjusted EBITDA, and raised full-year revenue guidance. This could also be because weather-related pressure in the materials business and unchanged adjusted EBITDA margin guidance tempered enthusiasm around an otherwise solid operating quarter.

Details:

Granite reported second-quarter revenue of about $1.46 billion, up 29% year over year, while adjusted EBITDA rose 22% to about $186 million.

The company also posted a net loss of about $278 million, driven by a roughly $360 million non-operating loss tied to transactions involving its 3.75% convertible notes.

Management raised 2026 revenue guidance to $5.3 billion to $5.5 billion from $5.2 billion to $5.4 billion, but left adjusted EBITDA margin guidance unchanged at 12.25% to 13.25%.

In the materials segment, gross profit margin fell year over year, with the company citing severe weather in the Southeast and higher quarry development costs.

Sources:

Granite Construction Investor Relations, SEC, Granite Construction Earnings Presentation

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$GVA Insider Trading Activity

$GVA insiders have traded $GVA stock on the open market 17 times in the past 6 months. Of those trades, 3 have been purchases and 14 have been sales.

Here’s a breakdown of recent trading of $GVA stock by insiders over the last 6 months:

KYLE T LARKIN (President & CEO) has made 0 purchases and 8 sales selling 45,989 shares for an estimated $5,425,107.
MICHAEL G TATUSKO (Senior Vice President) sold 7,500 shares for an estimated $1,057,500
BRADLEY JAY WILLIAMS (Senior Vice President) sold 6,734 shares for an estimated $949,494
BRIAN R DOWD (Senior Vice President) has made 0 purchases and 2 sales selling 6,075 shares for an estimated $726,124.
STACI M WOOLSEY (Chief Financial Officer) has made 0 purchases and 2 sales selling 5,024 shares for an estimated $597,664.
JOHN TIMOTHY ROMER has made 3 purchases buying 750 shares for an estimated $107,040 and 0 sales.

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

$GVA Hedge Fund Activity

We have seen 183 institutional investors add shares of $GVA stock to their portfolio, and 179 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

MILLENNIUM MANAGEMENT LLC added 641,885 shares (+124.0%) to their portfolio in Q1 2026, for an estimated $75,979,927
FMR LLC added 520,423 shares (+13.3%) to their portfolio in Q1 2026, for an estimated $61,602,470
FIRST TRUST ADVISORS LP added 483,080 shares (+52.8%) to their portfolio in Q1 2026, for an estimated $57,182,179
AMERICAN CENTURY COMPANIES INC removed 440,255 shares (-30.0%) from their portfolio in Q1 2026, for an estimated $52,112,984
FULLER & THALER ASSET MANAGEMENT, INC. removed 373,872 shares (-30.6%) from their portfolio in Q1 2026, for an estimated $44,255,228
UBS GROUP AG removed 265,072 shares (-40.9%) from their portfolio in Q1 2026, for an estimated $31,376,572
ACK ASSET MANAGEMENT LLC removed 250,000 shares (-50.0%) from their portfolio in Q1 2026, for an estimated $29,592,500

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$GVA Price Targets

Multiple analysts have issued price targets for $GVA recently. We have seen 4 analysts offer price targets for $GVA in the last 6 months, with a median target of $162.5.

Here are some recent targets:

Adam Bubes from Goldman Sachs set a target price of $139.0 on 07/09/2026
An analyst from Stephens & Co. set a target price of $180.0 on 06/26/2026
Brent Thielman from Oppenheimer set a target price of $170.0 on 05/28/2026
Brent Thielman from DA Davidson set a target price of $155.0 on 02/13/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.