📊 WLDN Key Takeaways
Is Willdan Group, Inc. (WLDN) a Good Investment?
Willdan Group demonstrates concerning fundamentals masked by topline revenue growth. Despite 20.5% YoY revenue increase, the company generated negative operating cash flow of -$24.4M and negative free cash flow of -$26.4M, indicating earnings quality issues and sustainability concerns. Thin operating margins (4.7%) combined with net income flat YoY and very low returns (ROE 2.7%, ROA 1.7%) suggest growth is not translating to profitable, cash-generating operations.
Willdan Group, Inc. Key Strengths (WLDN)
- Strong revenue growth of 20.5% YoY
- Healthy gross margin of 40.7%
- Conservative balance sheet with low leverage (Debt/Equity 0.15x) and adequate liquidity (Current Ratio 1.68x)
WLDN Stock Risks: Willdan Group, Inc. Investment Risks
- Critical: Negative operating cash flow of -$24.4M and negative free cash flow of -$26.4M despite positive net income signals earnings quality deterioration
- Net income essentially flat YoY (0.0%) despite 20.5% revenue growth indicates poor profitability conversion and margin compression
- Very thin operating margin (4.7%) and weak returns on capital (ROE 2.7%, ROA 1.7%) leave minimal financial flexibility
- Interest coverage of 1.9x and cash burn rate threaten liquidity sustainability given only $28.3M in cash reserves
Key Metrics to Watch
- Operating cash flow trend - must urgently turn positive to validate earnings quality
- Free cash flow margin - currently -17.0%, indicates structural profitability issues
- Working capital dynamics - negative cash flow despite positive earnings suggests collection or inventory management problems
- Operating margin expansion - critical to demonstrate pricing power and cost control
- Cash runway - at current burn rate, existing cash reserves are at risk
Willdan Group, Inc. (WLDN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Willdan Group, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
WLDN Profit Margin, ROE & Profitability Analysis
WLDN vs Services Sector: How Willdan Group, Inc. Compares
How Willdan Group, Inc. compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Willdan Group, Inc. Stock Overvalued? WLDN Valuation Analysis 2026
Based on fundamental analysis, Willdan Group, Inc. has mixed fundamental signals relative to the Services 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.
Willdan Group, Inc. Balance Sheet: WLDN Debt, Cash & Liquidity
WLDN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Willdan Group, Inc.'s revenue has grown significantly by 54% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.80 reflects profitable operations.
WLDN Revenue Growth, EPS Growth & YoY Performance
WLDN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $152.4M | $4.7M | $0.32 |
| Q3 2025 | $158.3M | $2.9M | $0.51 |
| Q2 2025 | $141.0M | $2.9M | $0.33 |
| Q1 2025 | $122.5M | $2.9M | $0.21 |
| Q3 2024 | $132.7M | $397.0K | $0.11 |
| Q2 2024 | $119.1M | $397.0K | $0.03 |
| Q1 2024 | $102.6M | $932.0K | $0.07 |
| Q3 2023 | $121.4M | $76.0K | $0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Willdan Group, Inc. Dividends, Buybacks & Capital Allocation
WLDN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Willdan Group, Inc. (CIK: 0001370450)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WLDN
What is the AI rating for WLDN?
Willdan Group, Inc. (WLDN) has an AI grade of C with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WLDN's key strengths?
Claude: Strong revenue growth of 20.5% YoY. Healthy gross margin of 40.7%.
What are the risks of investing in WLDN?
Claude: Critical: Negative operating cash flow of -$24.4M and negative free cash flow of -$26.4M despite positive net income signals earnings quality deterioration. Net income essentially flat YoY (0.0%) despite 20.5% revenue growth indicates poor profitability conversion and margin compression.
What is WLDN's revenue and growth?
Willdan Group, Inc. reported revenue of $155.1M.
Does WLDN pay dividends?
Willdan Group, Inc. does not currently pay dividends.
Where can I find WLDN SEC filings?
Official SEC filings for Willdan Group, Inc. (CIK: 0001370450) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WLDN's EPS?
Willdan Group, Inc. has a diluted EPS of $0.55.
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 WLDN's fundamental grade?
Based on our AI fundamental analysis in June 2026, Willdan Group, Inc. has a C grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is WLDN stock overvalued or undervalued?
Valuation metrics for WLDN: ROE of 2.7% (sector avg: 16%), net margin of 5.5% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is WLDN's AI grade for 2026?
Our dual AI analysis gives Willdan Group, Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WLDN's free cash flow?
Willdan Group, Inc.'s operating cash flow is $-24.4M, with capital expenditures of $2.0M. FCF margin is -17.0%.
How does WLDN compare to other Services stocks?
Vs Services sector averages: Net margin 5.5% (avg: 10%), ROE 2.7% (avg: 16%), current ratio 1.68 (avg: 1.5).