We recently published a list of Why These 15 Construction Stocks Are Plunging in 2025. In this article, we are going to take a look at where Ameresco, Inc. (NYSE:AMRC) stands against other construction stocks that are plunging in 2025.
2025 is shaping up to be a pivotal moment for the construction industry. Not long ago, the sector was booming. Infrastructure construction stocks soared as government contracts poured in and a broader economic expansion fueled optimism. There were massive infrastructure and energy projects with endless growth potential, and companies tied to these projects thrived.
However, the pendulum has swung hard in the opposite direction. Today, the industry faces a stark slowdown, and those once-high-flying construction stocks are plunging. The U.S. GDP is expected to contract in Q1 2025, and residential and commercial projects are stalling as financing costs rise and demand weakens.
Looking ahead, the outlook is murky at best. Some experts predict a modest rebound in late 2025 if interest rates ease and loan activity picks up. But considering tariffs are only getting higher, this could drive up inflation again and cause interest rates to stay up.
These stocks have borne the brunt of the downturn. It’s worth looking into if you want a front-row seat to the industry’s ups and downs.
For this article, I screened the worst-performing construction stocks year-to-date.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A man in a suit shaking hands with an engineer in front of a modern building with energy-saving windows.
Number of Hedge Fund Holders In Q4 2024: 19
Ameresco, Inc. (NYSE:AMRC) is an energy solutions provider.
The stock is down significantly so far in 2025 as Ameresco (NYSE:AMRC) reported disappointing fourth-quarter 2024 results, with full-year EBITDA and revenue guidance falling short of Wall Street expectations.
The company exceeded EPS and EBITDA estimates, but unexpected cost overruns on two large-scale legacy projects negatively impacted gross margins by $20 million.
Plus, UBS Group downgraded Ameresco (NYSE:AMRC) from a “buy” to a “sell” rating and slashed its price target from $37.00 to $8.00. Other firms, including Robert W. Baird and Canaccord Genuity Group, also lowered their price targets significantly.
