Is Dycom Stock a Buy After Equity Fund Bornite Capital Purchased Shares Worth Nearly $44 Million?

On November 7, 2025, Bornite Capital Management LP disclosed a new position in Dycom (NYSE:DY), adding 150,000 shares valued at approximately $43.76 million.

• Bornite Capital initiated a position of 150,000 shares for an estimated $43.76 million.
• The transaction represents 4.1% of Bornite Capital’s reportable U.S. equity assets under management.
• Bornite Capital's post-trade stake: 150,000 shares valued at $43.76 million.
• The stake size places Dycom outside the fund’s top five holdings.

What happened

According to an SEC filing dated November 7, 2025, Bornite Capital Management LP established a new position in Dycom, acquiring 150,000 shares. The stake, valued at $43.76 million as of September 30, 2025, now accounts for 4.1% of the fund’s reportable U.S. equity assets.

This addition brings the fund’s total reportable holdings to 35 positions.

What else to know

The new position in Dycom represents 4.1% of Bornite Capital’s reportable 13F assets under management.

Top holdings after the filing:

• ECL: $68.47 million (6.4% of AUM)
• GLW: $68.08 million (6.3% of AUM)
• TLN: $66.36 million (6.2% of AUM)
• PWR: $64.53 million (6.0% of AUM)
• CRS: $63.57 million (5.9% of AUM)

As of November 6, 2025, Dycom shares were priced at $282.92, up 57.8% over the past year, outperforming the S&P 500 by 21.6 percentage points

Company overview

Company snapshot

• Dycom provides specialty contracting services including engineering, construction, installation, and maintenance of fiber optic, copper, and coaxial cable systems, as well as utility infrastructure solutions.
• It generates revenue primarily through project-based contracts with telecommunications and utility companies, offering both program management and field services for network deployment and maintenance.
• Main customers are major telecommunications providers, cable system operators, wireless carriers, and electric and gas utilities across the United States.

Dycom is a leading provider of specialty contracting services to the telecommunications and utility sectors, operating at scale with nearly $5.0 billion in trailing twelve month revenue as of July 26, 2025.

The company leverages its expertise in network design, construction, and maintenance to support the expansion and modernization of critical infrastructure for large national clients.

Dycom's integrated service offerings and longstanding customer relationships position it as a key partner in the ongoing build-out of broadband and utility networks across the U.S.

Foolish take

Equity fund Bornite Capital taking a position in Dycom merits attention because it's a new holding, and the stake is substantial. Dycom may not be in the fund's top five holdings, but it's in the top ten.

Bornite Capital's purchase suggests the fund sees upside in Dycom, which is telling since the price was rising in Q3 when Bornite bought shares. The stock eventually reached a 52-week high of $301.88 on Oct. 16.

Dycom is a compelling investment. For starters, over $42 billion in federal funding was set aside for the expansion of broadband in the U.S., providing a tailwind for Dycom.

Moreover, Dycom had a stellar fiscal second quarter, ended July 26, with record contract revenue of $1.4 billion, up 14.5% year over year. This led to record net income of $97.5 million, a strong 42.5% year-over-year increase.

Dycom expects its fiscal 2026 revenue to increase by 12.5% to 15.4% year over year to a range between $5.3 billion to $5.4 billion. More growth may be coming in the years ahead as artificial intelligence leads to upgrades in telecommunications equipment.

As a result, Bornite Capital's significant stake makes sense. Dycom looks like a solid long-term investment thanks to the rise of AI.

Glossary

Stake: The ownership interest or investment a fund or individual holds in a company.

Assets under management (AUM): The total market value of investments managed by a fund or investment firm.

Reportable holdings: Positions in securities that investment managers are required to disclose in regulatory filings.

13F assets: U.S. equity securities that institutional investment managers must report quarterly to the Securities and Exchange Commission (SEC) on Form 13F.

Trailing twelve months (TTM): The 12-month period ending with the most recent quarterly report.

Specialty contracting services: Professional services focused on specific construction, engineering, or maintenance tasks, often for infrastructure projects.

Program management: Coordinating and overseeing multiple related projects to achieve strategic objectives for clients.

Field services: On-site work such as installation, repair, or maintenance performed at customer locations.

Network deployment: The process of building and activating telecommunications or utility infrastructure.

Utility infrastructure: Physical systems and facilities needed to deliver essential services like electricity, gas, or water.

Outperforming: Achieving a higher return or growth rate compared to a benchmark or index.

Robert Izquierdo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Corning and Quanta Services. The Motley Fool recommends Ecolab. The Motley Fool has a disclosure policy.