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Limbach Holdings - AI Stock Analysis
Analysis generated January 10, 2025
Limbach Holdings, Inc. is a leading provider of technical building construction services with a focus on engineering, construction, and service solutions. The company harnesses its vast experience in mechanical, electrical, and plumbing (MEP) services to handle projects of various sizes and complexities. Limbach Holdings partners with clients across various sectors including healthcare, commercial, and public infrastructure, ensuring robust solutions that stand the test of time. The company’s strategic efforts in maintaining high-quality service and customer satisfaction have positioned it favorably in the market.
Fundamental Analysis
In examining the fundamentals, revenue for the last quarter stood at $134M. This represents a 9.56% increase compared to the previous quarter, signaling strong sequential growth. Additionally, there is a 4.81% increase compared to the same quarter last year, highlighting positive year-over-year growth.
Net income for the last quarter was $7.5M, showcasing a robust increment of 25.51% from the previous quarter. Moreover, there is a 4.06% year-over-year increase, which further cements the company’s profitability and operational efficiency.
EBITDA reached $13M in the last quarter, climbing by 25.62% compared to the quarter before. An impressive 13.90% rise compared to the same quarter last year stands as proof of the company’s improvement in its operating income.
The current Price-to-Earnings (P/E) ratio sits at 44.57. While this may be seen as relatively high, potentially indicating an overvaluation, it also suggests investor confidence in the company’s future earnings growth. However, this metric should be considered in the context of the broader industry and market conditions.
Technical Analysis
As of today, Limbach Holdings' stock price is $97.17, which is a 3.71% increase from a month ago, indicating a positive short-term trend. Compared to a year ago, the stock price has surged by a staggering 144.15%, reflecting a strong long-term bullish trend.
The current Simple Moving Average (SMA10) is $94.04, compared to the previous SMA10 of $92.88. The increase in SMA10 indicates a potential upward trend in price movement, reinforcing the positive outlook.
The Relative Strength Index (RSI) is at 60.1, which is considered neutral. This metric suggests that the stock is neither overbought nor oversold, presenting a stable condition for investors.
Alternative Data Analysis
In terms of job postings and employee sentiment, Limbach Holdings currently has 15 open positions, a 36% increase over the last couple of months. This indicates a company in expansion mode, potentially a sign of healthy growth prospects. Employee sentiment is notably positive, with 84% of employees having a favorable outlook towards the company’s future.
Regarding customer acquisition, the company’s webpage has seen an estimated 5,000 visitors, though this number has decreased by 29% in recent months. Such a decline may indicate potential challenges in attracting new customers or retaining existing ones. Additionally, there has been a 6% decline in the number of Twitter followers, reducing the company's engagement and interest from potential and current customers.
The AltIndex’s AI score, which predicts stock price movement based on comprehensive data analysis, gives Limbach Holdings a score of 73, suggesting a “buy” signal.
Conclusion
Limbach Holdings showcases solid fundamental growth with impressive revenue, net income, and EBITDA figures displaying both sequential and year-over-year improvements. The stock's technical indicators reflect a bullish trend in both the short and long term. While the decline in webpage visitors and social media followers poses some concern, the overall sentiment among employees and job growth remain positive signals.
In consideration of the data, Limbach Holdings appears to be a strong candidate for potential investment. However, investors should remain mindful of its high P/E ratio and declining customer engagement metrics. The AltIndex AI score of 73 reaffirms a favorable investment outlook for this stock.
Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.
