Critical Review: Skyline Builders Group (NASDAQ:SKBL) and Limbach (NASDAQ:LMB)

Limbach (NASDAQ:LMB) and Skyline Builders Group (NASDAQ:SKBL) are both small-cap construction companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, profitability, earnings, analyst recommendations, risk and institutional ownership.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Limbach and Skyline Builders Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Limbach	0	0	4	0	3.00
Skyline Builders Group	0	0	0	0	0.00

Limbach currently has a consensus price target of $102.67, suggesting a potential downside of 18.19%. Given Limbach’s stronger consensus rating and higher probable upside, analysts clearly believe Limbach is more favorable than Skyline Builders Group.

Insider and Institutional Ownership

55.8% of Limbach shares are held by institutional investors. 10.2% of Limbach 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.

Valuation and Earnings

This table compares Limbach and Skyline Builders Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Limbach	$532.91 million	2.74	$20.75 million	$2.79	44.98
Skyline Builders Group	$49.64 million	6.13	N/A	N/A	N/A

Limbach has higher revenue and earnings than Skyline Builders Group.

Profitability

This table compares Limbach and Skyline Builders Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Limbach	5.08%	20.16%	8.60%
Skyline Builders Group	N/A	N/A	N/A

Summary

Limbach beats Skyline Builders Group on 9 of the 10 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 Skyline Builders Group

Skyline Builders Group Holding Ltd. operates as an exempted limited liability company. It operates business through its subsidiary, Kin Chiu Engineering Limited, which provides construction activities include public civil engineering works, such as road and drainage works in Hong Kong. The company was founded on June 25, 2024 and is headquartered in Hong Kong.