Dycom Industries, Inc. (DY - Analyst Report) is cashing in on the strength in US construction. This Zacks Rank #1 (Strong Buy) is expected to grow earnings by the double digits both this fiscal year and next.

Dycom provides specialty contracting services in the United States and Canada, including program management, engineering, construction, maintenance and installation for various utilities, including telecommunications, gas and electricity providers.

Big Beat in Fiscal Third Quarter

On May 24, Dycom reported better than expected fiscal third quarter results beating the Zacks Consensus Estimate by 33 cents. Earnings were $1.08 versus the consensus of just $0.75. That's a 44% beat.

Contract revenue jumped to $664.6 million from $492.4 million in the year ago period. Excluding contract revenues from acquired businesses that were not owned during the entire period, organic revenue still rose 28.7%.

Dycom is benefiting from the start of a telecom upgrade cycle which, the analysts believe, still has room to run.

Estimates Rise for F2016 and F2017

With the big beat in the third quarter, it's not surprising that analysts raised their estimates for fiscal 2016.

6 estimates were revised since the earnings report, pushing fiscal 2016 Zacks Consensus Estimate up to $4.32 from $3.88. That is more than the 33 cent beat in the third quarter which indicates that the analysts believe the fourth quarter will be stronger than previously thought as well.

That's earnings growth of $79.3% from fiscal 2015.

Looking ahead to fiscal 2017, 6 analysts also raised those estimates. The Zacks Consensus jumped to $5.12 from $4.53.

That's further earnings growth of 18.6%.

Shares Off Their 2016 Lows

Like most stocks, Dycom shares were beaten down in the January/February sell off.

They have rebounded off those lows and have almost recovered to their high. They're no longer a deal with a forward P/E of 19x.

But if you're an investor looking for a high growth name with solid fundamentals in the construction space, then Dycom is certainly one that should be on your short list.