SOLV Energy (NASDAQ:MWH) Posts Earnings Results

SOLV Energy (NASDAQ:MWH) posted its quarterly earnings data on Thursday. The company reported $0.30 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.26 by $0.04, FiscalAI reports. The business had revenue of $951.24 million for the quarter. The business’s revenue was up 77.4% on a year-over-year basis.

Here are the key takeaways from SOLV Energy’s conference call:

• Record first-half performance: Revenue rose 72% year over year to $1.63 billion and adjusted EBITDA increased 75% to $210 million, reflecting strong project execution and backlog conversion.
• SOLV raised its 2026 guidance to revenue of $3.87 billion-$3.97 billion and adjusted EBITDA of $485 million-$505 million, including an expected contribution from the Roberson Waite Electric acquisition.
• Backlog grew 44% year over year to approximately $8.9 billion, with storage-related projects increasing to $2.5 billion; management said the backlog provides strong visibility into 2027 and 2028.
• Management cited strong long-term demand from data centers, electrification, industrial reshoring, solar, storage, and grid infrastructure, while its 23 gigawatts of O&M contracts provide additional life-cycle services opportunities.
• Section 232 tariff implications are still developing, but management reported little near-term impact because most projects have secured modules and are in late-stage development; adjusted gross margin guidance declined to 16%-16.6% due primarily to an accounting reclassification with no EBITDA or cash-flow impact.

SOLV Energy Stock Down 4.5%

Shares of NASDAQ:MWH traded down $1.49 during trading on Friday, hitting $31.24. 769,681 shares of the company traded hands, compared to its average volume of 1,531,239. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.07. The stock has a fifty day simple moving average of $30.57. SOLV Energy has a one year low of $23.83 and a one year high of $48.40.

Key SOLV Energy News

Here are the key news stories impacting SOLV Energy this week:

• Positive Sentiment: Second-quarter revenue rose 77.4% year over year to approximately $951 million, while adjusted EBITDA increased to $117 million from $86 million. Adjusted EBITDA margin also improved slightly for the quarter compared with the first half of the year. SOLV Energy Reports Second Quarter 2026 Financial Results
• Positive Sentiment: SOLV Energy delivered quarterly EPS of $0.30, beating the $0.26 consensus estimate by $0.04. The company also issued fiscal 2026 revenue guidance of $3.9 billion to $4.0 billion, above the roughly $3.8 billion analyst consensus. SOLV Energy Earnings Results
• Positive Sentiment: Earnings-call coverage highlighted record revenue and a significant backlog increase, suggesting strong demand and improved future visibility for the power-infrastructure services provider. SOLV Energy Q2 2026 Earnings Call Highlights
• Neutral Sentiment: Robert W. Baird maintained an “outperform” rating but reduced its price target from $50 to $42. The revised target still implies substantial potential upside from the current trading level, although the cut may temper investor enthusiasm. Benzinga Analyst Update
• Negative Sentiment: Despite the revenue and EPS beats, reported gross margin declined to 14.7% from 21.1% a year earlier, while adjusted gross margin fell to 15.2% from 21.1%. Margin compression could raise concerns about profitability and execution as the company expands.

Institutional Investors Weigh In On SOLV Energy

A hedge fund recently raised its stake in SOLV Energy stock. Bank of New York Mellon Corp grew its holdings in shares of SOLV Energy Inc. (NASDAQ:MWH) by 697.6% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 98,660 shares of the company’s stock after buying an additional 86,290 shares during the period. Bank of New York Mellon Corp owned 0.08% of SOLV Energy worth $3,359,000 as of its most recent filing with the Securities and Exchange Commission.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on MWH shares. Zacks Research upgraded shares of SOLV Energy from a “hold” rating to a “strong-buy” rating in a report on Monday. KeyCorp boosted their price objective on shares of SOLV Energy from $36.00 to $50.00 and gave the company an “overweight” rating in a research note on Wednesday, May 13th. UBS Group reaffirmed a “neutral” rating and issued a $50.00 target price (up from $42.00) on shares of SOLV Energy in a research report on Thursday, May 14th. Robert W. Baird dropped their target price on shares of SOLV Energy from $50.00 to $42.00 and set an “outperform” rating for the company in a research report on Friday. Finally, Guggenheim lifted their price target on shares of SOLV Energy from $37.00 to $50.00 and gave the company a “buy” rating in a research report on Tuesday, May 26th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, SOLV Energy currently has an average rating of “Moderate Buy” and an average target price of $39.64.

About SOLV Energy

SOLV Energy (NASDAQ: MWH) is a renewable energy company that develops, constructs and operates solar and energy storage projects. The firm provides solutions aimed at reducing customers’ reliance on traditional grid power by pairing photovoltaic systems with battery storage where appropriate. SOLV’s activities are centered on delivering commercial-scale and distributed generation projects for business, institutional and public sector clients.

The company’s services encompass multiple phases of project delivery, including site assessment, system design, procurement, engineering and construction, and ongoing operations and maintenance.