ghoststock

Ghoststock · @ghoststock

16th Jun 2015 from TwitLonger

Why I am adding to my $WLDN position


FACTS on Willdan Group $WLDN

- Last quarter reported 47% revenue growth, 113% EBITDA growth, Operating Income growth of 100%
- EBITDA margin was 9.4% and will grow in the next quarters
- they did 3.1M EBITDA -> assuming faster growth in the next q with higher EBITDA margins -> I arrive at yearly 2015 EBITDA 14M -> WLDN only trades at EV/EBITDA of 7 vs. NVEE about 15.
- Forward PE ratio is about 10
- they won several new contracts during the last q
- both their tuck-in acquisitions generate strong results.
- Overall management is very bullish on calls/presentations
- WLDN is more or less debt-free and has 12M cash in the bank
- EPS was .19 and beat estimates by .05 -> but last years EPS was .17 -> people did not understand yet that this is taxation effect since WLDN can no longer capitalize on NOLs, but the business is growing 30% organically + by acquisitions
- they are actively looking for additional acquisitions
- Wedbush released 20$ price target after last earnings report
- We have seen insider buying at 13.99

This tweet is not a recommendation to buy or sell any security, these are personal opinions only.

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