Bowman Consulting Group (NasdaqGM:BWMN) - Share price, News & Analysis

Q: What is the Fair Price of BWMN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

BWMN ($12.5) is trading above our estimate of [[fair value]] ($5.97)

BWMN fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	4/6
Past Performance	0/6
Financial Health	4/6
Dividends	0/6

BWMN Stock Overview

Bowman Consulting Group Ltd. provides a range of real estate, energy, infrastructure, and environmental management solutions in the United States.

Rewards

Earnings are forecast to grow 91.5% per year

Revenue grew by 36.3% over the past year

Risk Analysis

Large one-off items impacting financial results

Profit margins (0.3%) are lower than last year (1.1%)

Shareholders have been diluted in the past year

Bowman Consulting Group Competitors

INNOVATE

NYSE:VATE

US$162.4m

Matrix Service

NasdaqGS:MTRX

US$145.2m

ReneSola

NYSE:SOL

US$300.9m

Northwest Pipe

NasdaqGS:NWPX

US$310.0m

Price History & Performance

Summary of all time highs, changes and price drops for Bowman Consulting Group
Historical stock prices
Current Share Price	US$12.50
52 Week High	US$22.82
52 Week Low	US$11.10
Beta	0
1 Month Change	-18.57%
3 Month Change	-19.97%
1 Year Change	-8.76%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-10.71%

Shareholder Returns

	BWMN	US Construction	US Market
7D	2.9%	7.4%	6.6%
1Y	-8.8%	-2.9%	-18.4%

Return vs Industry: BWMN underperformed the US Construction industry which returned -2.9% over the past year.

Return vs Market: BWMN exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is BWMN's price volatile compared to industry and market?
BWMN volatility
BWMN Average Weekly Movement	7.7%
Construction Industry Average Movement	5.9%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.2%

Stable Share Price: BWMN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: BWMN's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1995	960	Gary Bowman	https://www.bowman.com

Bowman Consulting Group Ltd. provides a range of real estate, energy, infrastructure, and environmental management solutions in the United States. It offers civil and site engineering services, such as conceptual land planning, environmental consulting and permitting, planning/zoning and entitlements, roadway and highway designs, erosion and sediment designs, stormwater management designs, construction administration, traffic studies, floodplain studies, and utility relocation designs; and commissioning and energy efficiency services comprise construction observation, direct systems functional performance testing, system development readiness checklist, post occupancy review, review of construction documents, deferred/seasonal functional testing, final commissioning report, and commissioning review of submittals. The company also provides construction management services, including constructability review, value engineering, budgeting and cost estimating, interagency and utility coordination, onsite observation and report evaluation, public communication and outreach, and resident engineer services, as well as bid solicitation, documentation, and preparation services; and environmental consulting services consisting of wetlands and waters of the U.S. delineations, natural resources inventories, wildlife and vegetation surveys, threatened and endangered species surveys, endangered species conservation and management, wetland creation and enhancement design, NEPA documentation, section 404/401 permitting and compliance, NPDES permitting, and phase I environmental site assessment.

Bowman Consulting Group Fundamentals Summary

How do Bowman Consulting Group's earnings and revenue compare to its market cap?
BWMN fundamental statistics
Market Cap	US$165.24m
Earnings (TTM)	US$589.00k
Revenue (TTM)	US$170.63m

280.6x

P/E Ratio

1.0x

P/S Ratio

Is BWMN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BWMN income statement (TTM)
Revenue	US$170.63m
Cost of Revenue	US$83.80m
Gross Profit	US$86.83m
Other Expenses	US$86.25m
Earnings	US$589.00k

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.045
Gross Margin	50.89%
Net Profit Margin	0.34%
Debt/Equity Ratio	12.2%

How did BWMN perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is BWMN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BWMN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for BWMN. This is calculated by dividing BWMN's market cap by their current preferred multiple.
What is BWMN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$165.24m

BWMN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.9x
Enterprise Value/EBITDA	20.5x
PEG Ratio	3.1x

Price to Sales Ratio vs Peers

How does BWMN's PS Ratio compare to its peers?

BWMN PS Ratio vs Peers

The above table shows the PS ratio for BWMN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	1.5x
VATE INNOVATE	0.1x	n/a	US$162.4m
MTRX Matrix Service	0.2x	11.1%	US$145.2m
SOL ReneSola	5x	37.2%	US$300.9m
NWPX Northwest Pipe	0.8x	9.9%	US$310.0m
BWMN Bowman Consulting Group	1x	18.2%	US$165.2m

Forward PS

Price-To-Sales vs Peers: BWMN is good value based on its Price-To-Sales Ratio (1x) compared to the peer average (1.5x).

Price to Earnings Ratio vs Industry

How does BWMN's PE Ratio compare vs other companies in the US Construction Industry?

Price-To-Sales vs Industry: BWMN is expensive based on its Price-To-Sales Ratio (1x) compared to the US Construction industry average (0.8x)

Price to Sales Ratio vs Fair Ratio

What is BWMN's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BWMN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1x
Fair PS Ratio	2.5x

Price-To-Sales vs Fair Ratio: BWMN is good value based on its Price-To-Sales Ratio (1x) compared to the estimated Fair Price-To-Sales Ratio (2.5x).

Share Price vs Fair Value

What is the Fair Price of BWMN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BWMN ($12.5) is trading above our estimate of fair value ($5.97)

Significantly Below Fair Value: BWMN is trading above our estimate of fair value.

Price to Earnings Growth Ratio

PEG Ratio: BWMN is poor value based on its PEG Ratio (3.1x)

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Future Growth

How is Bowman Consulting Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

91.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BWMN's forecast earnings growth (91.5% per year) is above the savings rate (1.9%).

Earnings vs Market: BWMN's earnings (91.5% per year) are forecast to grow faster than the US market (13.9% per year).

High Growth Earnings: BWMN's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BWMN's revenue (18.2% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: BWMN's revenue (18.2% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if BWMN's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Bowman Consulting Group performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-57.3%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: BWMN has a large one-off loss of $707.0K impacting its March 31 2022 financial results.

Growing Profit Margin: BWMN's current net profit margins (0.3%) are lower than last year (1.1%).

Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if BWMN's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: BWMN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BWMN had negative earnings growth (-57.3%) over the past year, making it difficult to compare to the Construction industry average (-0.1%).

Return on Equity

High ROE: BWMN's Return on Equity (0.8%) is considered low.

Discover strong past performing companies

Financial Health

How is Bowman Consulting Group's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: BWMN's short term assets ($97.4M) exceed its short term liabilities ($37.4M).

Long Term Liabilities: BWMN's short term assets ($97.4M) exceed its long term liabilities ($26.5M).

Debt to Equity History and Analysis

Debt Level: BWMN has more cash than its total debt.

Reducing Debt: Insufficient data to determine if BWMN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: BWMN's debt is well covered by operating cash flow (59.2%).

Interest Coverage: BWMN's interest payments on its debt are not well covered by EBIT (0.4x coverage).

Balance Sheet

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Dividend

What is Bowman Consulting Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate BWMN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate BWMN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if BWMN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BWMN's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as BWMN has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

13.7yrs

Average management tenure

CEO

Gary Bowman (65 yo)

27.42yrs

Tenure

US$8,305,465

Compensation

Mr. Gary P. Bowman has been the Chief Executive Officer, President and Chairman of Bowman Consulting Group, Ltd. since 1995 and served as its Principal. He retains a hands-on role overseeing all aspects of...

CEO Compensation Analysis

Compensation vs Market: Gary's total compensation ($USD8.31M) is above average for companies of similar size in the US market ($USD1.69M).

Compensation vs Earnings: Gary's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.

Leadership Team

Experienced Management: BWMN's management team is seasoned and experienced (13.7 years average tenure).

Board Members

Experienced Board: BWMN's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.6%.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31