Willdan Group, Inc. (WLDN)
Willdan Group: The Q2 Beat-And-Raise Confirms The Inflection
Willdan Group delivered a strong Q2, with contract revenue up 33% YoY and organic net revenue growth accelerating to 18%. The raised FY26 guidance remains conservative, with upside potential tied to the $110M LADWP contract expansion and commercial mix inflection. Adjusted EBITDA margin hit a record 28.2%; balance sheet strength and 70%+ FCF conversion support further growth and M&A flexibility.
Willdan Group Q2 Earnings Call Highlights
Willdan Group NASDAQ: WLDN reported record second-quarter profitability as revenue growth in commercial energy work, including data centers and battery storage projects, complemented continued demand from utility and municipal customers.
Willdan Group, Inc. (WLDN) Q2 2026 Earnings Call Transcript
Willdan Group, Inc. (WLDN) Q2 2026 Earnings Call Transcript
Willdan Group (WLDN) Tops Q2 Earnings and Revenue Estimates
Willdan Group (WLDN) came out with quarterly earnings of $2.07 per share, beating the Zacks Consensus Estimate of $1.22 per share. This compares to earnings of $1.5 per share a year ago.
Willdan Group: The Underappreciated AI Power Buildout Story
Willdan is rated Buy with a $117 price target, driven by beat-and-raise Q1 results and robust secular tailwinds in grid modernization and AI data centers. WLDN delivered a Q1 adjusted EBITDA margin of 19.6%, up 270 bps YoY, with management guiding to a high-20s% long-term margin target and FY26 adjusted EPS of $4.90–$5.05. Burton Energy's acquisition diversifies the revenue mix, boosts commercial exposure to 25%, and is accretive to 2026 margins and earnings.
Willdan Group: Growth Still Supports The Valuation
Willdan Group is capitalizing on grid investment, energy efficiency, and data-center power demand, driving robust growth and margin expansion. WLDN's margin reset, with a high-20s adjusted EBITDA margin target, is supported by a shift toward higher-margin commercial and data center projects. Recent acquisitions—Burton Energy and APG—add recurring revenue, national scale, and exposure to AI-driven data center infrastructure demand.
Willdan Group: Still Cheap While The Grid Emergency Grows
Willdan Group has demonstrated benchmark-like performance, returning 7% versus the S&P 500's 8% over the past six months. I'm increasingly bullish on WLDN due to its undervaluation, compressed multiple, and improving top and bottom-line fundamentals. WLDN's business performance is strengthening, with guidance raised despite recent volatility and a double-miss.
Willdan Group: Looking Beyond The Reported Numbers
Willdan won a contract with LADWP worth $330 million. This contract, however, has not started contributing revenue yet and is expected to contribute meaningfully in the second half of 2026. The Burton buyout, which was completed on May 4, would give Willdan access to numerous commercial clients. As per my DCF analysis, the WLDN stock is undervalued by roughly 18%. You should consider jumping in given the potential tailwinds.
Can Willdan (WLDN) Climb 38.96% to Reach the Level Wall Street Analysts Expect?
The average of price targets set by Wall Street analysts indicates a potential upside of 39% in Willdan (WLDN). While the effectiveness of this highly sought-after metric is questionable, the positive trend in earnings estimate revisions might translate into an upside in the stock.
Willdan Group Q1 Earnings Call Highlights
Willdan Group NASDAQ: WLDN reported a stronger-than-expected start to fiscal 2026, with executives citing margin expansion, improved productivity and rising demand for energy services as key drivers behind a raised full-year outlook.
Willdan Group: A Strong Buy Capitalizing On The Data Center Power Crisis
Willdan Group is positioned to benefit from surging power demand driven by AI data centers, offering grid optimization and efficiency solutions. Q1 2026 results showed 17% YoY revenue growth to $92M and gross margin expansion to 40.7%, with adjusted EPS up 44% to $0.91. Management anticipates further margin improvement through cost efficiencies and a revenue mix shift toward higher-margin clients, enhancing profitability.
Willdan Group: A Meltdown Worth Buying - Robust AI/Utility Monetization Prospects
The commercial sector now comprises 25% of Willdan's contract revenues, enabling accelerated growth and richer margins. The Burton acquisition also brings high-margin, multi-year, recurring energy management revenues, expanding their commercial offerings. Despite the recent acquisitions, WLDN continues to report a healthy balance sheet, underscoring their ability to sustainably fund their M&A driven growth opportunities.
