UPDATE: Sterne Agee Upgrades Granite Construction to Neutral Following 1Q Results

In a report published Friday, Sterne Agee analyst Michael S. Dudas upgraded the rating on Granite Construction GVA from Underperform to Neutral. In the report, Dudas noted, “We believe investor expectations for Granite appear more reasonable after analyzing management's initial 2013 financial and operating metrics published in its 1Q results. We increasingly believe U.S. civil and industrial construction markets have bottomed and should trend higher into 2014-15 allowing Granite better operating margin and backlog growth potential. After lagging its peers and the market during 2013, Granite's shares currently afford investors a more balanced risk/reward profile.” Granite Construction closed on Thursday at $28.94.