Primoris Services (PRIM) Shares Crater 50% Amid Expanded Renewables Issues - HBSS

SAN FRANCISCO, May 11, 2026 /PRNewswire/ -- Investors in Primoris Services Corporation (NYSE: PRIM) saw the price of their shares crater $101.69 (-50%) on May 6, 2026 after the Company reported huge year-over-year and sequential declines in revenues and gross profits for its Energy segment and identified ongoing, expanded issues with its renewables business.

The severe market reaction and expanded renewables issues have prompted shareholder rights firm Hagens Berman to open an investigation into whether Primoris' disclosures about the health of its business before the Company reported after the market closed on May 5, 2026.

The firm encourages Primoris investors who suffered substantial losses to submit your losses now. The firm also encourages persons with knowledge who may be able to assist the investigation to contact its attorneys.

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Primoris Services Corporation (PRIM) Investigation:

Hagens Berman's investigative focus is on the propriety of Primoris' statements about trends in—and operational performance of—Primoris' renewables business.

Primoris is fundamentally an energy and renewables company. In 2025, the Energy segment generated nearly two-thirds of the firm's total revenue. Within that segment, the renewable business has become the primary driver, alone accounting for roughly 40% of Primoris' entire annual revenue.

In February 2026, Primoris management attributed lower gross margins to "unexpectedly higher costs" at certain renewables projects, citing difficult soil and rock conditions that required additional labor and equipment. While management later downplayed the issue as being isolated to a single project—expressing confidence in their remedial measures—they simultaneously touted the company's ability to "accelerate project timelines" for 2026.

The market's confidence in Primoris's "remedial measures" was shattered following the release of the company's Q1 2026 financial results on May 5. The report revealed a staggering decline in the core Energy segment, with year-over-year revenues falling by $152.9 million (13.8%) and gross profits plunging by nearly 40%.

CEO Koti Vadlamudi admitted during the May 6 earnings call that Primoris's financial results were battered by cost pressures across multiple solar projects. Moving beyond the "rock and soil" reason used just months prior, Vadlamudi cited a litany of execution-related factors as the cause of the margin collapse:

• Project Redesigns: Costly changes to existing plans.
• Labor Issues: Inability to manage specific workforce demands.
• Sequencing Errors: Failures in project management and timing.
• Weather Disruptions: Further complicating already delayed timelines

The market swiftly reacted, sending the price of Primoris shares down 50% and wiping out about $5.5 billion of Primoris' market capitalization in a single day.

"We're focused on when Primoris' management learned of the renewable project execution issues revealed on the May earnings call," said Reed Kathrein, the Hagens Berman partner leading the firm's investigation.

If you invested in Primoris and have substantial losses, or have knowledge that will assist the firm's investigation, submit your losses now.

Whistleblowers: Persons with non-public information regarding Primoris should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].

About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

SOURCE Hagens Berman Sobol Shapiro LLP