Evaluating Willdan Group (WLDN) Valuation Following Major National Grid Contract Win in Massachusetts

Willdan Group (WLDN) just landed a contract with National Grid to provide energy efficiency services to small businesses in Massachusetts. This agreement brings the company into a new market and increases its presence across the Northeast.

See our latest analysis for Willdan Group.

Momentum has clearly been building for Willdan Group, as the stock’s 19.8% share price return over the last 90 days and exceptional 153.2% year-to-date gain easily outpace the broader market. Helping fuel that rally, Willdan’s recent expansion efforts, such as the National Grid contract, have captured investor attention. The company’s 1-year total shareholder return of 107% highlights both rapid growth and optimism about long-term potential.

If you’re watching companies that are expanding into new markets, you may want to check out other fast movers through our fast growing stocks with high insider ownership.

With shares having skyrocketed and strong growth numbers still coming in, investors are left to wonder: is Willdan Group still trading below its intrinsic value, or has the market already priced in all the good news?

Most Popular Narrative: 28% Undervalued

Willdan Group’s prevailing narrative sets a fair value of $132.50, which is substantially above the recent closing price of $95.40. The stage is set as investors weigh whether this spread suggests plenty of upside or if expectations are already sky-high.

Willdan's ongoing rollout of proprietary software and analytics platforms, paired with its established consulting services, is creating cross-selling opportunities and enabling technology-driven solutions for clients. This positions the company to capture higher-margin, recurring revenue streams and improve gross margins.

Read the complete narrative.

Want to unpack the numbers behind this target? The narrative is built on forecasts of rising profit margins and the promise of recurring revenue streams. But what key projection drives such bullish expectations? Find out which assumption holds the key to this ambitious valuation.

Result: Fair Value of $132.50 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, changes in government funding priorities or higher integration costs from acquisitions could quickly challenge the story behind Willdan’s impressive fair value estimate.

Find out about the key risks to this Willdan Group narrative.

Build Your Own Willdan Group Narrative

If you think there’s more to the story, or want to build your own case from the data, you can create a personalized narrative in under three minutes. Do it your way

Prefer to form your own view? Our platform makes it easy to explore a stock's fundamentals and create your own narrative in minutes.

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This 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.

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