| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 55 | 19.3x | 17.8x | Around median | |
Growth | 74 | 18.1% | 7.1% | Top tier | |
Quality | 76 | 17.1% | 4.5% | Top tier | |
Safety | 82 | 0.7x | 2.6x | Top tier | |
Capital Return | 35 | — | 2.12% | Bottom tier | |
Momentum | 28 | -29.2% | 2.9% | Bottom tier | |
Sentiment | 50 | 2 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Willdan Group provides consulting, engineering, software, and implementation services in the energy and infrastructure markets, along with ongoing energy management, energy-efficiency projects, battery storage, and microgrids. The company generates revenue from a mix of recurring programs and custom-executed projects for three main customer groups: utilities, government entities, and commercial clients. Commercial activities now represent about a quarter of the business, with data center electrical services constituting their largest component and the fastest-growing part of the company.
In Q2 of fiscal 2026, contract revenue rose 33% year over year to $231.0 million, and net revenue grew 23% to $117 million, including 18% organic growth. Gross profit reached $87.5 million, equivalent to about 37.9% of contract revenue, while gross margin declined 150 basis points due to a greater weighting of performance engineering and commercial projects that include more equipment and subcontractors. In contrast, adjusted earnings before interest, taxes, depreciation, and amortization increased 51% to a record $33 million, and its margin on net revenue reached 28.2%, the highest quarterly margin in the company's history.
Net income in Q2 of fiscal 2026 was about $24.3 million, up 58%, and earnings per share under generally accepted accounting principles increased 53% to $1.58, while adjusted earnings per share rose 38% to $2.07. During the first half of fiscal 2026, contract revenue reached $386 million and net revenue reached $210 million, gross margin was 39.0%, and adjusted earnings before interest, taxes, depreciation, and amortization increased 41% to $51.1 million. Data for the twelve months ended Q2 of fiscal 2026 show contract revenue of $742 million and adjusted earnings before interest, taxes, depreciation, and amortization of $94.3 million, with the latter growing 36% compared with revenue growth of 18%.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus is “Buy,” with an average price target of $110 and identical high and low targets at the same level; this zero-width range limits the ability to measure differences in analyst views. The target is about 20% below the 52-week range high of $137 and about 70% above the range low of $64.67, reflecting the extent of the stock's revaluation alongside earnings and contract growth, but leaving high sensitivity to any slowdown in LADWP execution or margin declines from record levels.
Figures in the text are as of 2026-09-02; the live price is shown at the top of the page.
Contract revenue increased 33% to $231 million, and net revenue grew 23% to $117 million in Q2 of fiscal 2026. Organic net revenue growth was 18%, driven by data centers, battery storage projects, and continued strength in utility and municipal infrastructure work. Higher volume and execution quality contributed to a 51% increase in adjusted earnings before interest, taxes, depreciation, and amortization to $33 million and a 38% increase in adjusted earnings per share to $2.07.
The expansion relates to a solar street-lighting program that removes lighting loads from the LADWP grid and adds available capacity while supporting public safety. On August 6, 2026, management said the company had already received authorization to begin work on half of the $110 million expansion. Execution is expected to ramp up during Q3 and Q4 of fiscal 2026 and the beginning of fiscal 2027, but the precise quarterly contribution was unknown at the time of the call.
Data center electrical services represented the largest portion of commercial revenue and the fastest-growing part of Willdan in Q2 of fiscal 2026. The company performs studies and projects related to energy supply and load interconnection and operates in markets including Texas, New Mexico, Montana, and Utah. Internally, the company said its use of artificial intelligence improves productivity and project management, which is one reason adjusted earnings before interest, taxes, depreciation, and amortization grew 36% during the twelve months compared with revenue growth of 18%.
The company raised its fiscal 2026 net revenue target to a range of between $415 million and $430 million. It also expects adjusted earnings before interest, taxes, depreciation, and amortization of between $103 million and $107 million and adjusted earnings per share of between $5.00 and $5.15. This guidance assumes about 15.9 million diluted shares and an effective tax rate of 0% for the full year, despite an expected income-statement tax rate of between 15% and 20% in the second half.
Willdan ended Q2 of fiscal 2026 with net debt of $33 million and a net-debt-to-adjusted-earnings-before-interest-taxes-depreciation-and-amortization ratio of 0.3 times. Available liquidity was $165 million, including $35 million in cash, $80 million available under a revolving credit facility, and $50 million under an unused delayed-draw facility. During the twelve months ended in the quarter, the company generated $71 million in operating cash flow and $62 million in free cash flow after using $50 million in cash for recent acquisitions.
Gross margin declined 150 basis points in Q2 of fiscal 2026 because the mix shifted toward performance engineering and commercial projects that use more equipment and subcontractors. However, these projects also carry lower overhead expenses, which helped the adjusted earnings before interest, taxes, depreciation, and amortization margin on net revenue reach a record 28.2%. Management does not expect the margin to remain at 28.2% throughout fiscal 2026, but instead estimates the full-year margin at about 25% compared with 21.8% in fiscal 2025.
