TRG | The Bottom Line – 9/6

TRG recently marketed with Granite Construction (GVA) in the Northeast. Many TRG clients are interested in ways to play companies that benefit from IIJA and road maintenance and construction. GVA is certainly one of those, with a number of company-specific catalysts that to their earnings profile in the coming years. Furthermore, the multiple on GVA is at a sizable to discount to public peers KNF and ROAD. We believe the name is compelling on a value basis and for its upcoming catalysts (e.g., Granite intends to expand disclosures in its Materials segment and provide long-term guidance on its next quarterly call).