SOLV Energy (NASDAQ:MWH) Announces Earnings Results, Misses Estimates By $0.06 EPS

SOLV Energy (NASDAQ:MWH) issued its quarterly earnings data on Thursday. The company reported $0.53 EPS for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.06), FiscalAI reports. The company had revenue of $1.24 billion for the quarter. The firm’s quarterly revenue was up 64.9% compared to the same quarter last year.

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

• SOLV reported record third-quarter revenue of $1.24 billion, up 65% year over year, and adjusted EBITDA of $173 million. The company raised 2026 guidance to $4.03–$4.12 billion in revenue and $525–$540 million in adjusted EBITDA.
• Backlog reached a record $9.2 billion, including about $3.1 billion of projects with battery storage, providing visibility into growth; management said customer projects are moving forward without significant delays or cancellations.
• SOLV ended the quarter with $609 million in liquidity, no long-term debt, and $386 million in trailing 12-month operating cash flow. Management said its backlog and active business development position the company for meaningful growth in 2027 and beyond.
• The company acquired ASB Energy Services for approximately $45 million, adding high-voltage substation, civil construction, and battery-storage capabilities. Management described the deal as accretive and consistent with its strategy to expand work performed in-house.
• Management acknowledged that equipment and commodity costs are rising, creating pressure on project inputs, though it said scale and operating efficiencies can help mitigate the impact. It also attributed the implied lower fourth-quarter margin outlook to seasonality and project timing.

SOLV Energy Stock Up 2.1%

Shares of MWH traded up $0.55 during midday trading on Friday, hitting $27.33. 534,996 shares of the company’s stock traded hands, compared to its average volume of 1,567,509. SOLV Energy has a 1 year low of $20.30 and a 1 year high of $48.40. The firm’s fifty day moving average is $24.97 and its 200-day moving average is $30.17. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 0.07. The stock has a market capitalization of $5.53 billion and a price-to-earnings ratio of 91.12.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. American Securities LLC purchased a new stake in SOLV Energy in the second quarter valued at about $2,823,440,000. First Trust Advisors LP purchased a new stake in shares of SOLV Energy during the third quarter worth about $106,605,000. Ninety One UK Ltd grew its stake in shares of SOLV Energy by 422.7% during the third quarter. Ninety One UK Ltd now owns 1,532,243 shares of the company’s stock worth $36,804,000 after acquiring an additional 1,239,122 shares during the last quarter. Pictet Asset Management Holding SA grew its stake in shares of SOLV Energy by 25.4% during the third quarter. Pictet Asset Management Holding SA now owns 623,440 shares of the company’s stock worth $14,975,000 after acquiring an additional 126,157 shares during the last quarter. Finally, Neumeier Poma Investment Counsel LLC acquired a new position in shares of SOLV Energy during the second quarter valued at about $18,320,262.

Key Headlines Impacting SOLV Energy

Here are a few of the latest headlines about MWH:

• Positive Sentiment: Revenue rose 64.9% year over year to $1.24 billion. Net income increased to $123 million from $70 million, while adjusted EBITDA climbed to $173 million from $122 million. SOLV Energy Q3 2026 results
• Positive Sentiment: The company forecast 2026 revenue of roughly $4.0 billion to $4.1 billion, above FactSet’s $3.93 billion estimate. The outlook signals stronger expected business than analysts had anticipated. 2026 revenue guidance
• Negative Sentiment: EPS was $0.53, missing analysts’ $0.59 consensus estimate. Gross margin also declined to 17.8% from 19.7% a year earlier, and adjusted EBITDA margin fell to 13.9% from 16.1%, highlighting profitability pressure despite rapid growth. Q3 earnings report and call

Analysts Set New Price Targets

A number of brokerages have recently issued reports on MWH. JPMorgan Chase & Co. cut their price target on SOLV Energy from $43.00 to $34.00 and set an “overweight” rating on the stock in a report on Monday, October 19th. KeyCorp decreased their price objective on SOLV Energy from $43.00 to $35.00 and set an “overweight” rating for the company in a research note on Thursday, October 15th. Robert W. Baird decreased their price objective on SOLV Energy from $50.00 to $42.00 and set an “outperform” rating for the company in a research note on Friday, August 14th. Weiss Ratings downgraded SOLV Energy from a “sell (d+)” rating to a “sell (d)” rating in a research report on Friday, September 25th. Finally, Zacks Research downgraded shares of SOLV Energy from a “strong-buy” rating to a “hold” rating in a report on Tuesday, September 8th. Ten analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $38.55.

About SOLV Energy

SOLV Energy is a U.S. renewable energy contractor that develops, builds and maintains utility-scale solar power and battery storage projects. Its services include engineering, procurement and construction, as well as operations and maintenance for energy facilities. The company serves customers across the United States, supporting projects from construction through ongoing operation. Its business also includes work on related electrical infrastructure. SOLV Energy traces its roots to Swinerton Renewable Energy, which became an independent company under the SOLV Energy name in 2021.