Limbach Holdings (LMB) AI Stock Analysis

• Market Cap: $976.65M
• Dividend Yield: N/A
• Average Volume (3M): 182.16K
• Price to Earnings (P/E): 27.2
• Beta (1Y): 1.59
• Revenue Growth: 16.56%
• EPS Growth: 35.80%
• Country: US
• Employees: 1,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 1.05
• Shares Outstanding: 11,626,814
• 10 Day Avg. Volume: 170,518
• 30 Day Avg. Volume: 182,164
• PEG Ratio: 0.74
• Price to Book (P/B): 6.36
• Price to Sales (P/S): 1.88
• P/FCF Ratio: 33.39
• Enterprise Value/Market Cap: 1.28
• Enterprise Value/Revenue: 2.07
• Enterprise Value/Gross Profit: 7.58
• Enterprise Value/Ebitda: 22.88
• 1Y Price Target: $123.50
• Price Target Upside: 49.70% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: $92.00 ▲(11.52% Upside)

Limbach Holdings' overall stock score reflects strong financial performance and strategic growth initiatives, particularly in the ODR segment. However, technical indicators suggest bearish momentum, and valuation metrics indicate potential overvaluation. The earnings call provided positive insights but also highlighted areas for improvement, such as gross margin and SG&A expenses.

Limbach Holdings Business Overview & Revenue Model

Company Description

Limbach Holdings, Inc. is a leading provider of commercial mechanical, electrical, and plumbing (MEP) services in the United States. The company operates primarily through its subsidiaries, delivering integrated solutions for design, installation, maintenance, and repair of building systems. Limbach is focused on various sectors including healthcare, education, and commercial real estate, offering services that enhance energy efficiency and sustainability while ensuring the operational reliability of building systems.

How the Company Makes Money

Limbach Holdings generates revenue through multiple key streams, primarily from providing mechanical and electrical contracting services for new construction projects, renovation projects, and ongoing maintenance services for existing facilities. The company typically engages in fixed-price contracts or time-and-material contracts, which allows for predictable revenue. Additionally, Limbach benefits from long-term service agreements that provide recurring income from maintenance and repair services. Strategic partnerships with construction firms, architects, and engineers enhance their market reach and project acquisition capabilities, contributing significantly to their earnings. The focus on energy-efficient solutions and sustainability practices also positions Limbach to capitalize on growing demand in the green building sector, potentially increasing revenue from these specialized services.

Limbach Holdings Financial Statement Overview

Summary

Limbach Holdings shows strong financial performance with consistent revenue growth and improving profit margins. The balance sheet is stable with a healthy debt-to-equity ratio and strong return on equity. However, declining free cash flow growth suggests the need for careful cash management.

Income Statement

Limbach Holdings demonstrates strong revenue growth with a TTM increase of 3.75% and consistent improvement in gross and net profit margins. The gross profit margin improved to 27.94% and net profit margin to 6.29%, indicating enhanced profitability. However, the EBIT and EBITDA margins show slight declines, suggesting room for operational efficiency improvements.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.30, reflecting prudent financial leverage. Return on equity is robust at 22.72%, indicating effective use of equity to generate profits. The equity ratio stands at 49.73%, showcasing a stable financial structure. However, the total debt has increased slightly, which could pose a risk if not managed carefully.

Cash Flow

Operating cash flow to net income ratio is moderate at 0.33, and free cash flow to net income ratio is strong at 0.83, indicating good cash generation relative to earnings. However, the free cash flow growth rate has declined by 33.71%, highlighting potential challenges in sustaining cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	603.58M	518.78M	516.35M	496.78M	490.35M	568.21M
Gross Profit	164.80M	144.28M	119.29M	93.74M	85.91M	81.39M
EBITDA	54.57M	53.72M	38.39M	24.17M	22.26M	24.86M
Net Income	36.61M	30.88M	20.75M	6.80M	6.71M	5.81M
Balance Sheet
Total Assets	409.12M	352.13M	304.44M	294.56M	267.51M	262.16M
Cash, Cash Equivalents and Short-Term Investments	9.82M	44.93M	59.83M	36.00M	14.48M	42.15M
Total Debt	82.75M	48.73M	41.98M	50.30M	60.64M	62.44M
Total Liabilities	227.56M	198.64M	183.52M	199.11M	179.67M	208.43M
Stockholders Equity	181.56M	153.49M	120.92M	95.44M	87.84M	53.73M
Cash Flow
Free Cash Flow	31.97M	29.26M	55.10M	34.38M	-25.02M	38.33M
Operating Cash Flow	36.86M	36.78M	57.37M	35.37M	-24.23M	39.81M
Investing Cash Flow	-92.75M	-42.57M	-17.09M	-495.00K	-19.30M	-1.32M
Financing Cash Flow	14.54M	-9.12M	-16.49M	-13.35M	15.87M	-4.69M

Limbach Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 82.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LMB, the sentiment is Negative. The current price of 82.5 is below the 20-day moving average (MA) of 93.38, below the 50-day MA of 97.90, and below the 200-day MA of 106.21, indicating a bearish trend. The MACD of -2.70 indicates Positive momentum. The RSI at 32.97 is Neutral, neither overbought nor oversold. The STOCH value of 15.97 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LMB.

Limbach Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GLDD	76 Outperform	$868.35M	10.61	17.37%	―	12.53%	35.68%
WLDN	76 Outperform	$1.33B	39.27	14.68%	―	13.82%	96.16%
LMB	68 Neutral	$976.65M	27.23	22.61%	―	16.56%	35.80%
ORN	66 Neutral	$426.54M	45.59	6.31%	―	7.02%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AMRC	61 Neutral	$1.98B	31.00	6.31%	―	12.22%	17.41%
MTRX	48 Neutral	$428.61M	-14.39	-16.33%	―	17.16%	24.10%

Limbach Holdings Corporate Events

Limbach Holdings Faces Financial Risks Amid Potential U.S. Government Shutdowns

Limbach Holdings faces potential business risks due to possible U.S. government shutdowns or delays in federal appropriations, which could adversely affect its operations. Although the company primarily generates revenue from private sector clients, it also engages in contracts with government agencies. Any disruptions in government operations could lead to the suspension or delay of these contracts, affecting payments and the awarding of new contracts. Such uncertainties may also impact the company’s customers, suppliers, and partners, potentially delaying projects and reducing demand for services, thereby affecting Limbach Holdings’ financial stability and business prospects.

Limbach Holdings Reports Strong Q3 2025 Results

Limbach Holdings, Inc. is a building systems solutions firm that partners with building owners and facilities managers across various sectors, providing essential mechanical, electrical, and plumbing infrastructure services. The company operates primarily in the eastern United States with a focus on six vertical markets including healthcare and data centers.

Limbach Holdings Q3 2025 Earnings Call Highlights

Limbach Holdings’ recent earnings call painted a picture of robust growth and strategic advancements, particularly in the Owner-Direct Relationships (ODR) segment and through successful acquisitions. However, the company also faces challenges with decreased gross margins and increased Selling, General, and Administrative (SG&A) expenses, indicating areas that require attention.

Limbach Holdings Reports Strong Q3 2025 Revenue Growth

Limbach Holdings reported a strong third quarter for 2025, with a 37.8% increase in total revenue to $184.6 million compared to the previous year, driven by acquisitions and organic growth. The company achieved a net income of $8.8 million and adjusted EBITDA of $21.8 million, reflecting its strategic focus on higher-margin ODR business. The acquisition of Pioneer Power has expanded Limbach’s footprint and contributed significantly to revenue, although it has impacted gross margins due to its lower margin profile. The company remains committed to improving Pioneer Power’s margins and reaffirmed its full-year revenue guidance of $650 million to $680 million.

The most recent analyst rating on (LMB) stock is a Buy with a $132.00 price target. To see the full list of analyst forecasts on Limbach Holdings stock, see the LMB Stock Forecast page.

Limbach Holdings Completes Acquisition of Pioneer Power

On July 1, 2025, Limbach Holdings, Inc. completed the acquisition of Pioneer Power, Inc. for $66.1 million, financed through cash and a credit facility. This acquisition expands Limbach’s presence in the Midwest and aligns with its strategic focus on Owner Direct Relationships (ODR). Pioneer Power’s expertise in industrial solutions complements Limbach’s recent acquisitions and is expected to contribute significantly to revenue and EBITDA in the coming years. The acquisition is anticipated to enhance Limbach’s long-term financial targets and create additional value for stockholders.

The most recent analyst rating on (LMB) stock is a Buy with a $67.00 price target. To see the full list of analyst forecasts on Limbach Holdings stock, see the LMB Stock Forecast page.

Limbach Holdings Reports Strong Q2 2025 Results

Limbach Holdings, Inc. is a building systems solutions firm specializing in mechanical, electrical, and plumbing infrastructure, primarily serving sectors such as healthcare, industrial, and data centers across the eastern United States. In its second quarter of 2025, Limbach Holdings reported a net income of $7.8 million and an adjusted EBITDA of $17.9 million, marking a significant improvement from the previous year. The company also raised its full-year revenue guidance to $650 million to $680 million, with adjusted EBITDA expected between $80 million and $86 million. Key financial highlights include a 16.4% increase in total revenue to $142.2 million and a 30% rise in adjusted EBITDA from the same quarter last year. The Owner Direct Relationships (ODR) segment saw a 31.7% revenue increase, now constituting 76.6% of total revenue, reflecting the company’s strategic focus on higher-margin business. Despite an increase in selling, general, and administrative expenses, the company maintained a strong gross profit margin of 28.0%. Looking ahead, Limbach Holdings remains optimistic about its growth strategy, focusing on expanding its ODR segment and strengthening customer relationships, supported by strategic investments and a robust M&A pipeline.

Limbach Holdings Reports Strong Growth Amid Challenges

Limbach Holdings’ recent earnings call painted a picture of robust growth tempered by some operational hurdles. The company showcased strong revenue increases, particularly in its high-margin ODR segment, and highlighted successful strategic acquisitions. However, concerns were raised regarding declining GCR revenue, cash flow issues, and reduced ODR margins, indicating short-term challenges despite a promising strategic position for future growth.