📊 LMB Key Takeaways
Is Limbach Holdings, Inc. (LMB) a Good Investment?
Despite strong 24.7% revenue growth, Limbach Holdings exhibits severe operational dysfunction with negative operating cash flow of -$7.8M and interest coverage of only 0.6x, indicating the company cannot service debt from operating profits. The 3.2% net margin and deteriorating cash generation quality suggest growth is not profitable or sustainable without asset liquidation.
Limbach is delivering strong, profitable growth, with revenue up 24.7% and EPS up 25.7%, supported by 26.2% gross and 7.6% operating margins. Low leverage (0.16x D/E) and excellent interest coverage (24.2x) alongside solid free cash flow (6.5% FCF margin) point to a healthy, capital-light profile. These fundamentals support continued compounding provided project execution and working capital remain well managed.
Limbach Holdings, Inc. Key Strengths (LMB)
- Strong revenue growth of 24.7% YoY demonstrates market demand and sales execution
- Moderate leverage with 0.26x debt-to-equity ratio provides some financial flexibility
- Adequate liquidity position with 1.71x current ratio for short-term obligations
- Double-digit revenue and net income growth with solid margins
- High ROE/ROA with low leverage and strong interest coverage
- Consistent free cash flow with modest capex needs
LMB Stock Risks: Limbach Holdings, Inc. Investment Risks
- Operating cash flow is deeply negative (-$7.8M), indicating the business cannot convert revenue into cash
- Interest coverage ratio of 0.6x means operating income cannot cover debt service; company depends on non-operating cash or asset sales
- Extremely weak returns on equity (2.2%) and assets (1.2%) despite $377M capital base signal inefficient operations
- Operating margin of only 0.8% indicates poor cost control despite significant revenue base
- Negative free cash flow of -$8.2M is unsustainable long-term and limits strategic flexibility
- Project execution and margin slippage inherent to fixed-price/complex contracts
- Working capital volatility from contract assets/receivables could pressure cash
- Cyclical end-market exposure; tighter bidding could compress gross margin
Key Metrics to Watch
- Operating cash flow trend and path to positive OCF
- Operating margin expansion and gross margin sustainability
- Interest coverage ratio improvement to minimum 1.25x
- Free cash flow generation and working capital management
- Debt reduction trajectory given negative cash generation
- Backlog growth and backlog gross margin
- Cash conversion (OCF/NI) and FCF margin
Limbach Holdings, Inc. (LMB) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Limbach Holdings, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LMB Profit Margin, ROE & Profitability Analysis
LMB vs Industrial Sector: How Limbach Holdings, Inc. Compares
How Limbach Holdings, Inc. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Limbach Holdings, Inc. Stock Overvalued? LMB Valuation Analysis 2026
Based on fundamental analysis, Limbach Holdings, Inc. has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Limbach Holdings, Inc. Balance Sheet: LMB Debt, Cash & Liquidity
LMB Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Limbach Holdings, Inc.'s revenue has grown significantly by 14% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.76 reflects profitable operations.
LMB Revenue Growth, EPS Growth & YoY Performance
LMB Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $133.1M | $4.4M | $0.36 |
| Q3 2025 | $133.9M | $6.0M | $0.62 |
| Q2 2025 | $122.2M | $6.0M | $0.50 |
| Q1 2025 | $119.0M | $7.6M | $0.64 |
| Q3 2024 | $127.8M | $3.0M | $0.61 |
| Q2 2024 | $122.2M | $3.0M | $0.46 |
| Q1 2024 | $119.0M | $3.0M | $0.27 |
| Q3 2023 | $122.4M | $866.0K | $0.28 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Limbach Holdings, Inc. Dividends, Buybacks & Capital Allocation
LMB SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Limbach Holdings, Inc. (CIK: 0001606163)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LMB
What is the AI rating for LMB?
Limbach Holdings, Inc. (LMB) has a Combined AI Grade of B from Claude (C) and ChatGPT (A) with 80% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LMB's key strengths?
Claude: Strong revenue growth of 24.7% YoY demonstrates market demand and sales execution. Moderate leverage with 0.26x debt-to-equity ratio provides some financial flexibility. ChatGPT: Double-digit revenue and net income growth with solid margins. High ROE/ROA with low leverage and strong interest coverage.
What are the risks of investing in LMB?
Claude: Operating cash flow is deeply negative (-$7.8M), indicating the business cannot convert revenue into cash. Interest coverage ratio of 0.6x means operating income cannot cover debt service; company depends on non-operating cash or asset sales. ChatGPT: Project execution and margin slippage inherent to fixed-price/complex contracts. Working capital volatility from contract assets/receivables could pressure cash.
What is LMB's revenue and growth?
Limbach Holdings, Inc. reported revenue of $138.9M.
Does LMB pay dividends?
Limbach Holdings, Inc. does not currently pay dividends.
Where can I find LMB SEC filings?
Official SEC filings for Limbach Holdings, Inc. (CIK: 0001606163) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LMB's EPS?
Limbach Holdings, Inc. has a diluted EPS of $0.36.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is LMB's fundamental grade?
Based on our AI fundamental analysis in May 2026, Limbach Holdings, Inc. has a B grade with 80% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is LMB stock overvalued or undervalued?
Valuation metrics for LMB: ROE of 2.2% (sector avg: 15%), net margin of 3.2% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is LMB's AI grade for 2026?
Our dual AI analysis gives Limbach Holdings, Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LMB's free cash flow?
Limbach Holdings, Inc.'s operating cash flow is $-7.8M, with capital expenditures of $407.0K. FCF margin is -5.9%.
How does LMB compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 3.2% (avg: 10%), ROE 2.2% (avg: 15%), current ratio 1.71 (avg: 1.8).