Financial Performance - Record full-year net income of $30.9 million, or $2.57 per diluted share, compared to $20.8 million, or $1.76 per diluted share, representing an increase of 48.8%[9] - Record adjusted EBITDA of $63.7 million, up 36.1% from $46.8 million[9] - Total gross profit for the year was $144.3 million, an increase of 20.9% from $119.3 million[9] - Total revenue for the year ended December 31, 2024, was $518,781,000, a slight increase of 0.5% from $516,350,000 in 2023[32] - Adjusted EBITDA for the year ended December 31, 2024, was $63,714,000, up from $46,801,000 in 2023, reflecting a significant improvement in operational performance[38] - Adjusted EBITDA margin improved to 12.3% in 2024 from 9.1% in 2023[38] - Net income for the year was $30,875,000, compared to $20,754,000 in 2023, representing a year-over-year increase of 48.8%[39] - Adjusted net income for 2024 was $43,217,000, with adjusted diluted earnings per share increasing to $3.60 from $2.48 in 2023[39] Revenue Breakdown - Owner Direct Relationships (ODR) revenue increased 31.9%, or $83.5 million, to $345.5 million, accounting for 66.6% of total revenue[9] - ODR segment revenue for Q4 2024 was $95.5 million, an increase of 21.4% compared to the previous year[12] - ODR revenue increased by 31.9% to $345,500,000, while GCR revenue decreased by 31.9% to $173,281,000[32] Quarterly Performance - Total revenue for Q4 2024 was $143.7 million, an increase of 0.7% from $142.7 million[12] - Revenue for Q4 2024 was $143,650,000, a slight increase of 0.7% from $142,691,000 in Q4 2023[21] - Gross profit increased to $43,571,000 in Q4 2024, up 30.8% from $33,306,000 in Q4 2023[21] - Operating income for Q4 2024 was $13,014,000, representing a significant increase of 79.5% compared to $7,251,000 in Q4 2023[30] Expenses and Liabilities - SG&A expense increased to $97.2 million, representing 18.7% of revenue, up from 16.9%[12] - The company reported a significant increase in selling, general and administrative expenses, which rose to $97,199,000 in 2024 from $87,397,000 in 2023, a 11.3% increase[21] - Total liabilities rose to $198,638,000 in 2024, compared to $183,524,000 in 2023, indicating a 8.2% increase[23] Strategic Acquisitions - The company completed two strategic acquisitions in 2024, aiming for $8 million to $10 million in adjusted EBITDA per year from these acquisitions[10] - The company engaged in multiple acquisitions, including the Kent Island Transaction and the Consolidated Mechanical Transaction, impacting cash flows from investing activities negatively by $36,588,000[25] Future Projections - For 2025, the company estimates revenue of $610 million to $630 million and adjusted EBITDA of $78 million to $82 million[6] Other Financial Metrics - The total gross profit percentage increased from 23.1% to 27.8%, driven by a higher margin ODR segment work[12] - Total current assets increased to $220,334,000 in 2024 from $217,000,000 in 2023[23] - Cash and cash equivalents decreased to $44,930,000 in 2024 from $59,833,000 in 2023, a decline of 25%[23] - The change in fair value of contingent consideration increased by 417.1% to $3,770,000, indicating potential growth in future earnings[32] - The company plans to focus on strategic decision-making using non-GAAP measures such as Adjusted EBITDA and Adjusted Net Income to enhance financial performance understanding[36]

Core Viewpoint - The sustainability of a trend is crucial for successful short-term investing, and confirming fundamental factors is essential to maintain momentum in stocks [1][2]. Group 1: Trend Analysis - Timing entries into a trend significantly impacts investment success, as trends can reverse before exiting a trade, leading to potential losses [1][2]. - A predefined "Recent Price Strength" screen helps identify stocks with strong fundamentals that can sustain their upward trends, focusing on those trading in the upper portion of their 52-week high-low range [3]. Group 2: Company Spotlight - Limbach (LMB) - Limbach (LMB) has shown a solid price increase of 33.4% over the past 12 weeks, indicating strong investor interest [4]. - The stock has also increased by 18.9% over the last four weeks, suggesting that the upward trend is still intact, and it is currently trading at 96.6% of its 52-week high-low range, indicating a potential breakout [5]. - Limbach holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6]. Group 3: Market Sentiment - The Zacks Rank system, which categorizes stocks based on earnings estimates, shows that Zacks Rank 1 stocks have historically generated an average annual return of +25% since 1988, indicating strong market performance [7]. - Limbach also has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7]. Group 4: Investment Strategy - In addition to Limbach, there are other stocks that meet the criteria of the "Recent Price Strength" screen, suggesting further investment opportunities [8]. - The effectiveness of stock-picking strategies can be backtested using tools like the Zacks Research Wizard, which provides access to successful stock-picking strategies [9].

Company Overview - Limbach (LMB) shares increased by 6.8% to $99.56 in the last trading session, with a higher-than-average trading volume, compared to a 6.4% gain over the past four weeks [1] - The company focuses on mission-critical systems and maintains long-term partnerships with building owners, contributing to positive market sentiment [2] Financial Performance - Limbach is expected to report quarterly earnings of $0.78 per share, reflecting a year-over-year increase of 77.3%, with revenues projected at $150.96 million, up 5.8% from the previous year [3] - The consensus EPS estimate for Limbach has remained unchanged over the last 30 days, indicating stability in earnings expectations [4] Industry Context - Limbach is part of the Zacks Building Products - Maintenance Service industry, where Rollins (ROL) also operates, closing 0.4% higher at $48.64, with a 4.1% return over the past month [4] - Rollins has a consensus EPS estimate of $0.23, representing a 9.5% increase from the previous year, and currently holds a Zacks Rank of 3 (Hold) [5]

Core Viewpoint - Limbach (LMB) has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The change in a company's future earnings potential, as indicated by earnings estimate revisions, is strongly correlated with near-term stock price movements [3]. - Institutional investors utilize earnings estimates to calculate the fair value of a company's shares, leading to buying or selling actions that affect stock prices [3]. Limbach's Earnings Outlook - Limbach is expected to earn $2.54 per share for the fiscal year ending December 2024, reflecting a year-over-year increase of 44.3% [7]. - Over the past three months, the Zacks Consensus Estimate for Limbach has risen by 11.6%, indicating a positive trend in earnings estimates [7]. Zacks Rating System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [6]. - The upgrade of Limbach to a Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for higher stock movement in the near term [9].

Core Viewpoint - The article emphasizes the importance of timing and sustainability in short-term investing, highlighting that a solid trend can lead to profitable opportunities if supported by strong fundamentals and positive earnings revisions [1][2]. Group 1: Stock Performance - Limbach (LMB) has shown a solid price increase of 15.5% over the past 12 weeks, indicating investor confidence in its potential upside [4]. - The stock has also maintained a price increase of 4.5% over the last four weeks, suggesting that the upward trend is still intact [5]. - Currently, LMB is trading at 87.2% of its 52-week high-low range, indicating a potential breakout [5]. Group 2: Fundamental Strength - LMB holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6]. - The stock has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7]. Group 3: Investment Strategy - The "Recent Price Strength" screen is a useful tool for identifying stocks like LMB that have the fundamental strength to maintain their upward trend [3]. - The article suggests that there are several other stocks passing through this screen, providing additional investment opportunities [8].

Company Performance - Limbach (LMB) has shown a year-to-date return of approximately 125.7%, significantly outperforming the average gain of 24.8% in the Business Services group [4] - The Zacks Consensus Estimate for Limbach's full-year earnings has increased by 7% over the past quarter, indicating improved analyst sentiment and a more positive earnings outlook [4] - Limbach currently holds a Zacks Rank of 1 (Strong Buy), suggesting a strong potential for continued performance [3] Industry Context - Limbach is part of the Building Products - Maintenance Service industry, which consists of 3 companies and is currently ranked 31 in the Zacks Industry Rank [6] - The average gain for the Building Products - Maintenance Service industry so far this year is 19.6%, indicating that Limbach is performing better than its peers in this sector [6] - In comparison, Allot Communications, another stock in the Business Services sector, has a year-to-date return of 156.4% and a Zacks Rank of 2 (Buy) [5][7]

Core Viewpoint - Limbach Holdings, Inc. (LMB) has experienced significant stock performance, trading near a 52-week high, with a year-to-date increase of 125.7%, outperforming its industry and broader market indices [1][2]. Group 1: Stock Performance - LMB stock reached a new 52-week high of $103.20 before closing at $102.64 [1] - The stock's year-to-date performance of 125.7% significantly exceeds the Zacks Building Products - Maintenance Service industry's growth of 19.6%, the Zacks Business Services sector's 22.7%, and the S&P 500's 25.3% [2] - Compared to peers, LMB outperformed Great Lakes Dredge & Dock Corporation (GLDD) which gained 60.6%, while Ameresco, Inc. (AMRC) saw a decline of 16.7% [3] Group 2: Financial Performance - Limbach reported third-quarter 2024 earnings with an EPS of 62 cents, surpassing estimates by 8.8%, and revenues of $133.9 million, reflecting a 4.8% year-over-year increase [9] - The shift to Owner-Direct Relationships (ODR) has been pivotal, contributing 82.1% of total gross profits in Q3 2024 and nearly 70% of total revenues, up from 51.5% a year ago [8][9] - Gross profit increased by 15.6% year-over-year, with gross margins rising to 27% from 24.5% [9] Group 3: Strategic Initiatives - The company has raised its 2024 revenue guidance to $520–$540 million and adjusted EBITDA to $60–$63 million, indicating management's confidence in growth [10] - Limbach has completed four acquisitions since late 2021, enhancing customer relationships and expanding its market presence [11] - Investment in innovative solutions, such as rental equipment for indoor climate control and bundled service contracts, strengthens its service portfolio and revenue streams [12] Group 4: Market Position and Valuation - Limbach is positioned favorably within mission-critical sectors like data centers, healthcare, and industrial manufacturing, ensuring a steady pipeline of opportunities [13] - Despite its stock gains, Limbach is attractively valued with a forward 12-month P/E ratio below the industry average, suggesting potential for further growth [14] - Analysts have shown confidence in the stock, with upward revisions in EPS estimates indicating expected growth of 44.3% and 19.1% for 2024 and 2025, respectively [17] Group 5: Investment Outlook - The Average Brokerage Recommendation (ABR) for Limbach is 1.00, with all analysts rating the stock as a Strong Buy, and a price target of $105.50 suggests a potential upside of 6.6% [17] - The company's focus on mission-critical systems and long-term relationships with building owners provides a compelling value proposition [18] - The discounted valuation relative to the industry offers a margin of safety, while strategic initiatives and sector momentum highlight long-term potential [19]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell even higher, with the expectation that established trends will continue [1][2]. Company Overview: Limbach (LMB) - Limbach currently holds a Momentum Style Score of B and a Zacks Rank of 1 (Strong Buy), indicating strong potential for outperformance in the market [3][4]. - The stock has shown significant price increases, with a 26.98% rise over the past week, compared to a 17.86% increase in the Zacks Building Products - Maintenance Service industry [6]. - Over the past quarter, Limbach shares have increased by 42.67%, and over the last year, they have gained 125.58%, significantly outperforming the S&P 500, which rose 9.45% and 33.9% respectively [7]. Trading Volume and Market Interest - Limbach's average 20-day trading volume is 133,227 shares, which serves as a bullish indicator when combined with rising stock prices [8]. Earnings Outlook - In the past two months, one earnings estimate for Limbach has increased, raising the consensus estimate from $2.43 to $2.58 for the full year, with no downward revisions noted [10]. - For the next fiscal year, one estimate has also moved upwards, indicating positive sentiment regarding future earnings [10].

Core Viewpoint - Growth investors are focused on stocks with above-average financial growth, but identifying stocks that can fulfill their growth potential is challenging due to associated risks and volatility [1] Group 1: Company Overview - Limbach (LMB) is recommended as a growth stock due to its favorable Growth Score and top Zacks Rank [2] - The company has a historical EPS growth rate of 55.2%, with projected EPS growth of 46.6% this year, significantly higher than the industry average of 10% [5] - Limbach's year-over-year cash flow growth is 35.8%, surpassing the industry average of 8.3% [6] Group 2: Financial Metrics - The annualized cash flow growth rate for Limbach over the past 3-5 years is 47.2%, compared to the industry average of 12.7% [7] - The Zacks Consensus Estimate for Limbach's current-year earnings has increased by 6.2% over the past month, indicating a positive trend in earnings estimate revisions [8] Group 3: Investment Potential - Limbach has achieved a Growth Score of A and a Zacks Rank 1 (Strong Buy), suggesting it is a potential outperformer and a solid choice for growth investors [9]

Surety. The terms of its construction contracts frequently require that the Company obtain from surety companies, and provide to its customers, payment and performance bonds ("Surety Bonds") as a condition to the award of such contracts. The Surety Bonds secure the Company's payment and performance obligations under such contracts, and the Company has agreed to indemnify the surety companies for amounts, if any, paid by them in respect of Surety Bonds issued on its behalf. In addition, at the request of lab ...