Is Willdan Group (WLDN) a Good Long-Term Bet?

Core Insights - Conestoga Capital Advisors reported strong equity market performance in Q3 2025, with the Conestoga Micro-Cap Composite returning 11.7% net-of-fees, while the Russell Microcap Growth Index returned 19.9% [1] Company Overview - Willdan Group, Inc. (NASDAQ:WLDN) specializes in professional, technical, and consulting services in the Energy and Engineering and Consulting segments [2][3] - As of October 17, 2025, Willdan Group, Inc. had a market capitalization of $1.399 billion and its stock closed at $95.40 per share [2] Performance Metrics - Willdan Group, Inc. experienced a one-month return of -8.00%, but its shares increased by 114.22% over the last 52 weeks [2] - The company benefited from strong execution in energy efficiency services, supported by federal and state infrastructure funding, leading to robust project wins and improved margins [3] Market Sentiment - Investor optimism around sustainability-linked infrastructure spending contributed positively to Willdan Group, Inc.'s visibility and growth prospects [3] - Despite its potential, Willdan Group, Inc. is not among the 30 most popular stocks among hedge funds, with 25 hedge fund portfolios holding the stock at the end of Q2 2025, up from 22 in the previous quarter [4] Comparative Analysis - While acknowledging Willdan Group, Inc.'s potential, the company believes certain AI stocks present greater upside potential and lower downside risk [4]