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 ...

When it comes to short-term investing or trading, they say "the trend is your friend." And there's no denying that this is the most profitable strategy. But making sure of the sustainability of a trend to profit from it is easier said than done.The trend often reverses before exiting the trade, leading to a short-term capital loss for investors. So, for a profitable trade, one should confirm factors such as sound fundamentals, positive earnings estimate revisions, etc. that could keep the momentum in the st ...

Limbach Holdings, Inc. (LMB) is a rare red-hot small cap company. This Zacks Rank #1 (Strong Buy) is up 85.9% year-to-date.Limbach is a building systems solutions firm specializing in revitalizing mission-critical electrical, plumbing, and mechanical/HVAC infrastructure within existing buildings.Headquartered in Pennsylvania, it works with building owners in six markets: healthcare, industrial and manufacturing, data centers, life science, higher education and cultural and entertainment.Limbach has more tha ...

The Business Services group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Limbach (LMB) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Business Services sector should help us answer this question. Limbach is a member of our Business Services group, which inclu ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Even though momentum is a popular stock cha ...

When it comes to short-term investing or trading, they say "the trend is your friend." And there's no denying that this is the most profitable strategy. But making sure of the sustainability of a trend to profit from it is easier said than done. Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate re ...

Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. However, it isn't easy to find a great growth stock. That's because, these stocks usually carry above-average risk and volatility. In fact, betting on a stock for which the growth story is actually over or nearing its end could lead to significant loss. However, it's pretty easy to find cutting-edge growth stocks with the help of the ...