Latest news with #NV5Global
Yahoo
31-05-2025
- Business
- Yahoo
Acuren Corporation (TIC): A Bull Case Theory
We came across a bullish thesis on Acuren Corporation (TIC) on Kairos Research's Substack. In this article, we will summarize the bulls' thesis on TIC. Acuren Corporation (TIC)'s share was trading at $11 as of 28th May. TIC's trailing and forward P/E were 39.88 and 22.73 respectively according to Yahoo Finance. A worker in a factory wearing a safety uniform standing in front of a conveyor belt of products. Acuren Corporation and NV5 Global, Inc. have entered into a definitive agreement to merge in a transaction valued at approximately $1.7 billion. The deal combines Acuren's leading industrial testing and inspection capabilities with NV5's infrastructure and geospatial engineering expertise, creating a diversified technical services platform with projected annual revenues of $2 billion. Under the terms of the agreement, NV5 shareholders will receive $23.00 per share, consisting of $10.00 in cash and $13.00 in Acuren stock, which represents a 32% premium over NV5's recent share price. The merged company is expected to deliver approximately $350 million in adjusted EBITDA after synergies, with $20 million in near-term cost savings already identified. The transaction structure will result in Acuren shareholders owning approximately 60% of the combined company and NV5 shareholders owning 40%. The strategic rationale behind the merger includes complementary services, increased cross-selling opportunities, and expansion across infrastructure and industrial end markets. The combined scale and capabilities aim to better serve clients and compete more effectively in a fragmented industry. As part of the transaction, Acuren will appoint key NV5 executives, including CEO Dickerson Wright and COO Alexander Hockman, to its board of directors, with Wright also serving as Chairman. The merger has been unanimously approved by NV5's Board of Directors and is expected to close in the second half of 2025, pending customary closing conditions and regulatory approvals. The transaction signals a significant consolidation in the technical services sector, positioning the combined entity for long-term growth and enhanced shareholder value. For a comprehensive analysis of another standout stock covered by the same author, we recommend reading their summary of their bullish thesis on NVR, Inc. (NVR). Acuren Corporation (TIC) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held TIC at the end of the first quarter which was 0 in the previous quarter. While we acknowledge the risk and potential of TIC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than TIC but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
17-05-2025
- Business
- Bloomberg
Acuren Agrees to Buy Engineering Firm NV5 for $1.7 Billion
Acuren Corp. has agreed to buy rival engineering and inspection-services provider NV5 Global Inc. for about $1.7 billion in cash and stock. NV5 investors will receive $23 per share, consisting of $10 in cash and $13 in shares of Acuren common stock, according to a statement Thursday. Acuren shareholders will own about 60% of the combined company, with NV5 investors holding the rest.
Yahoo
16-05-2025
- Business
- Yahoo
NVEE Q1 Earnings Call: Revenue Beats Expectations, Profit Margin Initiatives Underway
Infrastructure consulting firm NV5 Global (NASDAQ:NVEE) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 10.1% year on year to $234 million. The company's full-year revenue guidance of $1.04 billion at the midpoint came in 1% above analysts' estimates. Its non-GAAP profit of $0.17 per share was 8.9% below analysts' consensus estimates. Is now the time to buy NVEE? Find out in our full research report (it's free). Revenue: $234 million vs analyst estimates of $228.6 million (10.1% year-on-year growth, 2.4% beat) Adjusted EPS: $0.17 vs analyst expectations of $0.19 (8.9% miss) Adjusted EBITDA: $29.74 million vs analyst estimates of $29.44 million (12.7% margin, 1% beat) The company reconfirmed its revenue guidance for the full year of $1.04 billion at the midpoint Management reiterated its full-year Adjusted EPS guidance of $1.32 at the midpoint Operating Margin: 1.9%, in line with the same quarter last year Free Cash Flow Margin: 11.7%, up from 7.5% in the same quarter last year Market Capitalization: $1.24 billion NV5 Global's first quarter results were driven by notable growth in its Infrastructure and Buildings and Technology segments, with management highlighting robust demand for essential consulting services in utilities, transportation, and data centers. CEO Ben Heraud pointed to a 12% increase in Infrastructure and a 17% rise in Buildings and Technology revenues, attributing these gains to ongoing infrastructure investments and the company's ability to provide mandated, non-discretionary services. The quarter also saw the successful completion of several acquisitions, which management believes have already contributed to cross-selling opportunities and expanded the company's client base. Looking ahead, management reaffirmed full-year guidance and emphasized a strategic focus on organic growth, margin improvement, and cash flow conversion. CFO Edward Codispoti stated, 'We continue to target an unlevered free cash flow conversion rate of 60% for the year and the results of this quarter put us on track to achieve that goal.' The team identified efficiency measures, including labor reductions and office consolidations, as key to achieving planned margin expansion, while expressing confidence in the stability of infrastructure funding and minimal direct impact from tariffs or supply chain disruptions. Management attributed quarterly performance to segment growth and operational changes, while also providing updates on strategic acquisitions and margin improvement initiatives. Infrastructure and Buildings Growth: The Infrastructure segment benefited from increased public investment in utilities and transportation, particularly in the Northeast and Southeast, while the Buildings and Technology segment saw strong demand from data center and real estate clients. Geospatial Segment Update: Growth in the Geospatial segment was muted by delays in federal contract awards, which management linked to transitions in government administration, but they expect this segment to accelerate later in the year as contracts move forward. Margin and Cash Flow Initiatives: The company implemented cost reduction measures, including indirect labor cuts and office consolidations, and launched efficiency projects in geospatial data storage and sales automation to support margin expansion targets. Strategic Acquisitions: Three acquisitions in the quarter—Herman CX (commissioning for data centers), CRS Survey (land surveying), and Group Delta—expanded NV5's service offerings and geographic reach, providing new cross-selling and client access opportunities. Limited Tariff and Supply Chain Exposure: Management repeatedly emphasized that NV5's consulting-focused, mandated services are largely insulated from tariff and supply chain risks that may affect traditional construction or materials businesses. Management expects continued growth for the remainder of the year, driven by recurring demand for infrastructure consulting and new efficiency measures, while monitoring for improved performance in the Geospatial segment. Recurring Infrastructure Demand: Essential service consulting in utilities, transportation, and water is expected to remain resilient, supported by multi-source pre-funded projects and stable government and municipal investment. Margin Expansion Programs: Cost structure improvements, including labor optimization, office consolidations, and software-driven efficiencies, are intended to deliver the targeted 150 basis point EBITDA margin increase over the year. Federal Contract Timing Risks: Management noted that timing of federal contract awards, especially in Geospatial, remains a variable, with potential delays due to administrative transitions but expectations for improvement as the year progresses. Chris Moore (CJS Securities): Asked about the slow start in Geospatial and the outlook for federal versus commercial business. Management replied that internal integration was the main early drag, with improving trends expected as the year continues. Rob Brown (Lake Street): Inquired about the typical contract size and expansion opportunities of the newly acquired data center commissioning business. CEO Ben Heraud explained contracts are typically $1–2 million, often phased, and the acquisition allows broader cross-selling of NV5 services. Andy Wittmann (Baird): Pressed on the confidence level and timeline for margin expansion. CFO Edward Codispoti clarified that the bulk of margin improvements will materialize in the second half of the year, with some benefits already underway. Sam Kusswurm (William Blair): Asked how tariffs might affect NV5 clients' project timelines or budgets. Management stated that their services have minimal direct exposure to tariffs and supply chain issues, with no observed project slowdowns. Andy Wittmann (Baird): Questioned the company's capital allocation plans, specifically regarding share buybacks. Executive Chairman Dickerson Wright confirmed a $20 million buyback authorization, with intent to use cash opportunistically for both buybacks and accretive acquisitions. In the coming quarters, the StockStory team will monitor (1) the pace of margin improvement as cost and efficiency initiatives are rolled out, (2) the recovery of growth in the Geospatial segment as federal contracts are awarded, and (3) the impact of recent acquisitions on cross-selling and organic revenue growth. Progress on these fronts will be important indicators of NV5's ability to deliver on its full-year targets. NV5 Global currently trades at a forward P/E ratio of 16.7×. Should you load up, cash out, or stay put? Find out in our free research report. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
05-05-2025
- Business
- Yahoo
UL Solutions Earnings: What To Look For From ULS
Safety certification company UL Solutions (NYSE:ULS) will be reporting earnings tomorrow morning. Here's what to look for. UL Solutions beat analysts' revenue expectations by 1.9% last quarter, reporting revenues of $739 million, up 8% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts' EPS estimates. Is UL Solutions a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting UL Solutions's revenue to grow 5.2% year on year to $704.8 million, slowing from the 6.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.31 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. UL Solutions has a history of exceeding Wall Street's expectations, beating revenue estimates every single time since going public by 1.6% on average. Looking at UL Solutions's peers in the professional services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. NV5 Global delivered year-on-year revenue growth of 10.1%, beating analysts' expectations by 2.4%, and ICF International reported a revenue decline of 1.4%, in line with consensus estimates. NV5 Global traded up 1.5% following the results while ICF International was down 6.3%. Read our full analysis of NV5 Global's results here and ICF International's results here. There has been positive sentiment among investors in the professional services segment, with share prices up 11.7% on average over the last month. UL Solutions is up 11.5% during the same time and is heading into earnings with an average analyst price target of $59.15 (compared to the current share price of $59.85). Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
Yahoo
03-05-2025
- Business
- Yahoo
NV5 Global First Quarter 2025 Earnings: Revenues Beat Expectations, EPS Lags
Revenue: US$234.0m (up 9.7% from 1Q 2024). Net income: US$428.0k (up 4.9% from 1Q 2024). Profit margin: 0.2% (in line with 1Q 2024). EPS: US$0.007 (in line with 1Q 2024). We've discovered 2 warning signs about NV5 Global. View them for free. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue exceeded analyst estimates by 1.8%. Earnings per share (EPS) missed analyst estimates by 70%. Looking ahead, revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 7.0% growth forecast for the Professional Services industry in the US. Performance of the American Professional Services industry. The company's shares are up 16% from a week ago. We should say that we've discovered 2 warning signs for NV5 Global that you should be aware of before investing here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
