Limbach (NASDAQ:LMB – Get Free Report) and Stantec (NYSE:STN – Get Free Report) are both industrials companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.
Risk & Volatility
Limbach has a beta of 1.45, suggesting that its stock price is 45% more volatile than the S&P 500. Comparatively, Stantec has a beta of 0.99, suggesting that its stock price is 1% less volatile than the S&P 500.
Valuation and Earnings
This table compares Limbach and Stantec”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Limbach | $646.80 million | 1.35 | $39.06 million | $2.75 | 26.64 |
| Stantec | $5.83 billion | 1.38 | $343.11 million | $3.12 | 22.96 |
Stantec has higher revenue and earnings than Limbach. Stantec is trading at a lower price-to-earnings ratio than Limbach, indicating that it is currently the more affordable of the two stocks.
Institutional and Insider Ownership
55.8% of Limbach shares are held by institutional investors. Comparatively, 63.9% of Stantec shares are held by institutional investors. 7.0% of Limbach shares are held by company insiders. Comparatively, 0.5% of Stantec shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares Limbach and Stantec’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Limbach | 5.09% | 26.17% | 12.90% |
| Stantec | 5.92% | 19.37% | 8.03% |
Analyst Recommendations
This is a summary of recent ratings and recommmendations for Limbach and Stantec, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Limbach | 0 | 3 | 1 | 0 | 2.25 |
| Stantec | 0 | 2 | 5 | 0 | 2.71 |
Limbach currently has a consensus price target of $97.00, indicating a potential upside of 32.42%. Stantec has a consensus price target of $175.00, indicating a potential upside of 144.26%. Given Stantec’s stronger consensus rating and higher probable upside, analysts clearly believe Stantec is more favorable than Limbach.
Summary
Stantec beats Limbach on 9 of the 14 factors compared between the two stocks.
About Limbach
Limbach Holdings, Inc. operates as a building systems solution company in the United States. It operates through two segments, General Contractor Relationships and Owner Direct Relationships. The company engages in the construction and renovation projects that involve primarily include mechanical, plumbing, and electrical services. It also provides critical system repair, MEP infrastructure projects, maintenance contracts, building automation upgrades, data driven insights, and program management services. In addition, it offers captive engineering capabilities, estimating and virtual design; and professional engineering, energy analysis, estimation, and detail design and three-dimensional building installation coordination services. The company serves research, acute care, and inpatient hospitals; public and private colleges, universities, research centers; sports arenas; entertainment facilities, and amusement rides and parks; data centers; automotive, energy and general manufacturing plants; and life sciences, including organizations and companies, whose work is centered around research and development focused on living things. Limbach Holdings, Inc. was founded in 1901 and is headquartered in Warrendale, Pennsylvania.
About Stantec
Stantec Inc. provides professional services in the areas of infrastructure and facilities to the public and private sectors in Canada, the United States, and internationally. It offers evaluation, planning, and designing infrastructure solutions; solutions for sustainable water resources, planning, management, and infrastructure; environmental services; integrated architecture, engineering, interior design, and planning solutions for buildings; and energy and resources solutions. The company also provides consulting services in engineering, architecture, interior design, landscape architecture, surveying, environmental sciences, project management, and project economics. In addition, it offers planning and design services to clients in residential, logistics, retail, infrastructure, energy, higher education, and urban regeneration sectors; architectural and interior design, and planning services in the science and technology, commercial workplace, higher education, residential, and hospitality markets. Further, the company provides transportation advisory, transport engineering, and technical design; project delivery consultancy services for mining, resources, and industrial infrastructure projects; paleontological and archaeological services for the rail, transportation, water, and power and energy sectors; and environmental and cultural resource compliance services. Additionally, it offers consulting services in sustainable building design, energy infrastructure upgrades, sustainable district heating network, and e-mobility; and planning, design, construction administration, commissioning, maintenance, decommissioning, and remediation services. The company was formerly known as Stanley Technology Group Inc. and changed its name to Stantec Inc. in October 1998. Stantec Inc. was founded in 1954 and is headquartered in Edmonton, Canada.
Receive News & Ratings for Limbach Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Limbach and related companies with MarketBeat.com's FREE daily email newsletter.
